3 Problem 9.5 4 5 The Man Hotel is located close to Manchester United's football stadium. It has a souvenir shop that sells two main product lines: hats and scarves in the Manchester United colours. The quarterly sales budget for the forthcoming year is as follows: 6 8. 17 QUARTER HATS SCARVES 1 1,200 600 9 2 800 400 10 3 600 300 11 1,400 700 12 13 It is expected that the shop will be holding 240 hats and 180 scarves in stock at the beginning of the year. The shop manger always likes to keep 20 per cent of the next quarter's hat sales in stock and 30 per cent of the next quarter's scarf 14 sales. Sales of hats and scarves in the first quarter of the following year are expected to be 25 per cent higher than the first quarter of the forthcoming year. 15 16 Required: 17 Prepare the quarterly purchases budget for hats and scarves for the forthcoming year. 18