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Lakeside Components wishes to purchase parts in one month for sale in the next. On...

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Accounting

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Lakeside Components wishes to purchase parts in one month for sale in the next. On June 1, the company has 11,000 parts in stock, although sales for June are estimated to total 14,600 parts. Total sales of parts are expected to be 8,800 in July and 8,600 in August Parts are purchased at a wholesale price of $15. The supplier has a financing arrangement by which Lakeside Components pays 60 percent of the purchase price in the month when the parts are delivered and 40 percent in the following month. Lakeside purchased 18,000 parts in May Required: a. Estimate purchases (in units) for June and July June July Merchandise to be purchased units b. Estimate the cash required to make purchases in June and July Month of Payment June luly Total

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