Lawrence Corporation desires a December 31 ending inventory of 900 units.Budgeted sales for December are 2,650 units.The November 30 inventory was 750 units.What are budgeted purchases in units?

Question

Quizplus · Accepted Answer

To calculate the budgeted purchases, we need to use the following formula:

Budgeted Purchases = Desired ending inventory + Budgeted sales - Beginning inventory

Substituting the values, we get:

Budgeted Purchases = 900 + 2,650 - 750 = 2,800 units

Therefore, the correct answer is B) 2,800.

Lawrence Corporation Desires a December 31 Ending Inventory of 900