27 360 29 520 28.080 less Ending inventory Cost of goods sold 25 800 22 800 24 600 Self-test problem 3.4 Refer to Self-test problem 3.1. Required Prepare a cost of goods sold budget for the three months ending 31 March You should now be able to do Questions 3.6 to 3.8. Budgets for operating expenses Recall from earlier studies that operating expenses in the income stater categorised as marketing (or selling and distribution), administrative and fin aware budgets for each of these categories so that the beginning and ending inventory figures for the quarter, not the totals of the respective rows. The "Quarter' column and the 'To be purchased row must cross-balance. Self-test problem 3.1 Rundle Ltd has estimated sales for January to April as: $ January February March April 150 000 180 000 120 000 165 000 The mark-up on cost is 50% and management requires that opening stock be 90% of sales (at cost) each month. Required Prepare a purchases budget for the three months ending 31 March. You should now be able to do Questions 3.1 to 3.3