Benson Company sells lamps and other lighting fixtures. The purchasing department manager prepared the following inventory purchases budget. Bensons policy is to maintain an ending inventory balance equal to 10 percent of the following months cost of goods sold. Aprils budgeted cost of goods sold is $78,000.

Required:

A) Complete the inventory purchases budget by filling in the missing amounts.

B) Determine the amount of cost of goods sold the company will report on its first quarter pro forma income statement.

C) Determine the amount of ending inventory the company will report on its pro forma balance sheet at the end of the first quarter.

Inventory Purchases Budget February March January $ 58,000$ 62,000$ 68,000 Budgeted cost of goods sold Plus: Desired ending inventory Inventory needed Less: Beginning inventory Required purchases (on account) S58,400 6,200 64,200 5,800 Determine the amount of cost of goods sold the company will report on its first quarter pro forma income statement. Determine the amount of ending inventory the company will report on its pro forma balance sheet at the end of the f quarter b. Cost of goods sold c. Ending inventory