3. Jakester Sports plans on selling and incurring the following costs of goods sold next year: Budgeted Sales Budgeted Cost of Goods Sold Basketballs $500,000 $300,000 Footballs $460,000 $275,000 Beginning Inventory for basketballs is expected to be $90,000 and footballs is $50,000. Ending inventory is planned to be $75,000 for basketballs and $70,000 for footballs. Calculate the required inventory purchases for basketballs to meet the sales and desired ending inventory levels a. $280,000 b. $285,000 c. $295,000 d. $375,000 9. Total variances for materials, and labor can be split into which two variances? a. Price and rate b. Price and usage c. Usage and quantity d. Volume and usage 20. When assessing to replace an asset such as a piece of machinery. The basis for the decision is: a. Asset physical condition b. Future profitability c. Annual depreciation expense of the old equipment versus the new equipment d. Market value of the old equipment versus the cost of new equipment