9B and C are independent questions. The questions have nothing to do with each uestion 9A (5 marks) BC Company is a retailer of baseball caps. It is preparing its budget for the months of January and Febru e following assumptions: Sales are forecast to be $60,000 for January, $50,000 for February, and $180,000 for March. ) Cost of goods sold is 31% of sales. ) Inventory at the end of each month should be 21% of the next month's Cost of goods sold. ) Inventory at the beginning of January is $1,800. Part 1 How much inventory (in dollars) should ABC Company purchase in January? A) $20,055 B) $16,044 C) $23,063 D) $19,052 E) $22,061 F) $21,258 G) $28,077 Part 2 Part b) How much inventory (in dollars) should ABC Company purchase in February? $22,765 A) B) $19,170 C) $27,557 D) $26,359 $25,401 F) $23,963 G) $33,548 Question 9B (8 marks) ABC Company is preparing its cash budget for the month of January 2021. It has completed everything except financing section. ABC's assumptions are: 1) The cash balance cannot go below $27,000. 2) The interest rate per month is 1%. 3) Any necessary borrowing occurs at the beginning of the month. 4) Any loan repayments occur at the end of the month. 5) Interest expense is added to the loan payable. 6) ABC Company tries to minimize the amount of its loan, while making sure its cash balance does not fall belo Here is their cash budget so far: Cash balance, beginning Add cash collections Total cash available 00% $ 27,000 162,000 189,000 11:29 AM Qtri $ Einthusan NOTE: Questions 9A, 9B and 9C are independent questions. The questions have nothing to do with each oth Question 9A (5 marks) ABC Company is a retailer of baseball caps. It is preparing its budget for the months of January and Februar the following assumptions: 1) Sales are forecast to be $60,000 for January, $50,000 for February, and $180,000 for March. 2) Cost of goods sold is 31% of sales. 3) Inventory at the end of each month should be 21% of the next month's Cost of goods sold. 4) Inventory at the beginning of January is $1,800. Part 1 How much inventory (in dollars) should ABC Company purchase in January? A) $20,055 B) $16,044 C) $23,063 $19,052 $22,061 F) $21,258 G) $28,077 Part 2 Part b) How much inventory (in dollars) should ABC Company purchase in February? A) $22,765 $19,170 $27,557 $26,359 E) $25,401 Qtr F) $23.963 100% G) $33,548 Question 9B (8 marks) ABC Company is preparing its cash budget for the month of January 2021. It has completed everything except financing section. ABC's assumptions are: 1) The cash balance cannot go below $27,000. 2) The interest rate per month is 1%. 3) Any necessary borrowing occurs at the beginning of the month. 4) Any loan repayments occur at the end of the month. 5) Interest expense is added to the loan payable. 6) ABC Company tries to minimize the amount of its loan, while making sure its cash balance does not fall belo Here is their cash budget so far: Cash balance, beginning Add cash collections Total cash available $ 27,000 162,000 189,000