Garcia Manufacturing's April sales forecast projects that 5,000 units will sell at a price of $10.50 per unit.The desired ending inventory is 30% higher than the beginning inventory,which was 1,000 units.Budgeted purchases of units in April would be:

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The desired ending inventory is 30% higher than the beginning inventory, which was 1,000 units. So, the desired ending inventory is 1,000 * 1.30 = 1,300 units. The budgeted purchases of units in April would be the sum of the units sold and the desired ending inventory minus the beginning inventory. So, the budgeted purchases of units in April would be 5,000 + 1,300 - 1,000 = 5,300 units.

Garcia Manufacturing's April Sales Forecast Projects That 5,000 Units Will