Question
ABC Inc. prepared the following sales budget: Month Budgeted Sales Sept $6,000 October $13,000 Nov $12,000 Dec $14,000 The expected gross profit rate is 40%
ABC Inc. prepared the following sales budget:
Month | Budgeted Sales |
Sept | $6,000 |
October | $13,000 |
Nov | $12,000 |
Dec | $14,000 |
The expected gross profit rate is 40% and the inventory at the end of August was $10,000. Desired inventory levels at the end of the month are 20% of the next month's cost of goods sold.
What are the total purchases budgeted for October?
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Integrated Accounting For Windows
Authors: Dale Klooster
7th Edition
0538747978, 9780538747974
