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In June 2020, the following data was prepared by Chuckie Chams Productions for preparing the merchandise purchases budget for the month of July:

1.		Expected sales: June $466,000; July $506,000.
2.		Cost of goods sold is expected to be 60% of sales.
3.		Desired ending merchandise inventory is 40% of the following months cost of goods sold.
4.		The beginning inventory at July 1 will be the desired amount.

Calculate the budgeted merchandise purchases for June.

Chuckie Chams Productions Merchandise Purchases Budget For June
Budgeted merchandise purchases for JuneGoods available for saleDesired ending merchandise inventoryBudgeted cost of goods soldDesired beginning merchandise inventory		$
LessAdd: Desired ending merchandise inventoryBudgeted merchandise purchases for JuneGoods available for saleBudgeted cost of goods soldDesired beginning merchandise inventory
Goods available for saleDesired ending merchandise inventoryBudgeted merchandise purchases for JuneDesired beginning merchandise inventoryBudgeted cost of goods sold		$
AddLess: Desired ending merchandise inventoryGoods available for saleBudgeted cost of goods soldBudgeted merchandise purchases for JuneDesired beginning merchandise inventory
Desired beginning merchandise inventoryBudgeted cost of goods soldGoods available for saleBudgeted merchandise purchases for JuneDesired ending merchandise inventory		$

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