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Adams, Inc. sells fireworks. The company's marketing director developed the following cost of goods sold budget for April, May, June, and July Budgeted cost of goods sold April $80,000 May June July $90,000 $100,000 $106,000 Adams had a brginning inventory balance of $3,900 on April 1 and a beginning balance in accounts payable of $15,400. The company desires to maintain an ending inventory balance equal to 20 percent of the next period's cost of goods sold. Adams makes all purchases on account. The company pays 60 percent of accounts payable in the month of purchase and the remaining 40 percent in the month following purchase. Required a. Prepare an inventory purchases budget for April, May, and June. b. Determine the amount of ending inventory Adams will report on the end-of-quarter pro forma balance sheet c. Prepare a schedule of cash payments for inventory for April, May, and June, d. Determine the balance in accounts payable Adams will report on the end-of-quarter pro forma balance sheet Complete this question by entering your answers in the tabs below. Required A Required B Required Required D Prepare an inventory purchases budget for April May, and June Inventory Purchases Budget Budgeted cost of goods sold April May June $ 80,000 $90,000 $100,000 Inventory needed Budgeted cost of goods sold April $80,000 May $90,000 June July $100,000 $106,000 Adams had a beginning inventory balance of $3,900 on April 1 and a beginning balance in accounts payable of $15,400. The company desires to maintain an ending inventory balance equal to 20 percent of the next period's cost of goods sold, Adams makes all purchases on account. The company pays 60 percent of accounts payable in the month of purchase and the remaining 40 percent in the month following purchase, Required a. Prepare an inventory purchases budget for April, May, and June b. Determine the amount of ending inventory Adams will report on the end-of-quarter pro forma balance sheet. c. Prepare a schedule of cash payments for inventory for April , May, and June d. Determine the balance in accounts payable Adams will report on the end-of-quarter pro forma balance sheet. Complete this question by entering your answers in the tabs below. Required A Required B Required Required D Determine the amount of ending inventory Adams will report on the end-or-quarter pro forma balance sheet. Ending inventory Complete this question by entering your answers in the tabs below. Required A Required B Required Required D Prepare a schedule of cash payments for inventory for April, May, and June. (Round your final answers to the neares dollar) April May June Schedule of Cash Payments Payment of current accounts payablo Payment of previous accounts payable Total budgeted payments for inventory Budgeted cost of goods sold April $80,000 May $90,000 June July $100,000 $106,000 Adams had a beginning inventory balance of $3,900 on April 1 and a beginning balance in accounts payable desires to maintain an ending inventory balance equal to 20 percent of the next period's cost of goods sold. purchases on account. The company pays 60 percent of accounts payable in the month of purchase and the the month following purchase. Required a. Prepare an inventory purchases budget for April, May, and June. b. Determine the amount of ending inventory Adams will report on the end-of-quarter pro forma balance shee c. Prepare a schedule of cash payments for inventory for April, May, and June. d. Determine the balance in accounts payable Adams will report on the end-of-quarter pro forma balance she Complete this question by entering your answers in the tabs below. Required A Required B Required c Required D Determine the balance in accounts payable Adams will report on the end-of-quarter pro forma balance sheet Accounts payable
