Project Description:

part b.
using the figures provided you will calculate the following for the xyz store.
b1. open to buy for each month
b2. average monthly sales
b3. average monthly on order
b4. markdown % for each month

planned sales
+ planned reductions
+planned eom stock
= total monthly needs
-bom stock
=planned purchases
-merchandise on order
=open to buy (at retail)

planned sales on order employee md$ shortages eom bom
feb. $300,000 $125,000 2% $8,000 2% $200,000 $160,000
mar. $200,000 $15,000 3% $12,000 4% $80,000 $200,000
apr. $300,000 $145,000 4% $4,000 5% $110,000 $80,000
may $200,000 $35,000 0% $3,000 7% $90,000 $110,000
june $400,000 $170,000 5% $18,000 2% $210,000 $90,000
july $250,000 $24,000 7% $25,000 3% $70,000 $210,000

part c. solve the following:

c1. after careful analysis of the economic data from the u. s. government the xyz store set a sales plan increase for the next season (feb.- july) of 6.2%. based on this year's sales plan what is the company's new projected sales plan for the next season?

c2. in the prior year same sales period the xyz store had actual sales of $1,820,000.00. what was the increase/decrease for the sales period and suggest reasons for the change from one season to the next.


*in fashion retailing, the business cycles usually end on july 31 and january 31. business cycles in retailing (especially for apparel) are generally known as seasons. the february through july business cycle is called the spring/summer season, and the august through january business cycle is called the fall/winter season.
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