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MC Qu. 80 Flack Corporation, a merchandiser,... Flack Corporation, a merchandiser, provides the following information for its December budgeting process: The November 30 inventory was 1,720 units. Budgeted sales for December are 4,300 units. Desired December 31 inventory is 3,010 units. Budgeted purchases are:

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Answer:

Budgeted purchases are  5,590 units

Explanation:

Prepare a Purchases Budget as follows :

                                                                          December

Budgeted Sales                                                     4,300

Add Budgeted Closing Inventory                         3,010

Total Purchases needed                                       7,310

Less Budgeted Opening Inventory                      (1,720)

Budgeted Purchases                                             5,590

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