Given the six-month merchandise budget below, answer questions #5-8. When completing the budget, do not round to the nearest whole dollar (in other words, do not drop the cents).

8. What is the Total $ Planned Purchases at Cost figure?

Last Years Total Sales = $790,000

Planned % Sales Increase = 6%

Planned % Reductions = 18%

Planned EOM for Period = $196,500

Planned IMU%= 55%

Six-Month Merchandise Budget
Fall/Winter	August	September	October	November	December	January	Totals
Planned Sales
Planned Sales %	12%	14%	22%	22%	16%	14%	100%
Planned BOM Stock							____________
Planned S/S Ratio	2.0	2.3	2.8	2.5	2.5	2.0	____________
Planned EOM Stock							____________
Planned Reductions
Planned Reductions %	16%	17%	18%	17%	15%	17%	100%
Planned Purchases @ Retail
Planned Purchases @ Cost

	A.	983,656
	B.	$623,097
	C.	$442,645.20
	D.

Planned Purchases at Cost= Planned Purchases at Retail x (100% - Initial Markup %)