Inventory purchase budget using the sales-manager's estimate 1st 2nd 3rd 4th Sales 380,000 310,000 280.000 480,000 Cost of goods sold Plus: desired ending Total inventory Less: Beginning inventory Required purchase cost of goods is .60 of sales revenue, .10 on expected cost of goods, ending inventory is 29,000. next year invenyoty budget is expected to 30,000.