Bruner stores wants to have 500 shovels in ending inventory on december 31. budgeted sales for december are 1,950 shovels. the november 30 inventory was 320 shovels. how many shovels should benson stores purchase for december?

Purchases =  2100 shovels

Explanation:

given data

ending inventory = 500 shovels

Budgeted sales = 1,950 shovels

inventory = 320 shovels

to find out

How many shovels should Benson Stores purchase for December

solution

we know here ending inventory formula that is express as

Ending inventory  = Beginning inventory + Purchases - Sales   1

put here value we will get Purchases

so that

500 = 320 + Purchases - 1950

Purchases =  500 + 1950 - 350

Purchases =  2100 shovels

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