James Inc. has the following budgeted figures:

Calculate the ending merchandise inventory for the month of March.

A) $38,750

B) $52,000

C) $33,750

D) $39,000

Sales Cost of goods sold Required ending inventory Inventory on hand on Jan 1st Jan Feb Mar $50,000 $65,000 $80,000 60% of sales $15,000+ 25% of sales of next month $27,500 April $95,000