Budgeted sales of The Music Shop for the first six months of 2010 are as follows: Beginning

Question:

Budgeted sales of The Music Shop for the first six months of 2010 are as follows:
Beginning inventory for 2010 is 40,000 units. The budgeted inventory at the end of a month is 40 percent of units to be sold the following month. Purchase price per unit is $5.
Required:
Prepare a purchases budget in units and dollars for each month, January through May.