Question
Claven Mail Services Company, a retailer, expects revenues as follows: September $100,000 October $150,000 November $180,000 Inventory cost is 60% of sales. Ending inventory is
Claven Mail Services Company, a retailer, expects revenues as follows:
Claven Mail Services Company, a retailer, expects revenues as follows:
September $100,000
October $150,000
November $180,000
Inventory cost is 60% of sales. Ending inventory is expected to equal 50% of the next month's cost of goods sold. Ending inventory for September is planned to be $45,000 at cost.
What would purchases of inventory in October be?
A. $45,000
B. $144,000
C. $54,000
D. $99,000
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The Audit Process Principles Practice And Cases
Authors: Stuart Manson, Iain Gray, Iain G. Sheffield, I.H. Gray, I. Etal Gray
2nd Edition
1861520107, 9781861520104
