Finch Company sells lamps and other lighting fixtures The purchasing department manager prepared the following inventory purchases budget Finchs policy is to maintain an ending inventory balance equal to 20 percent of the following months cost of goods sold Aprils budgeted cost of goods sold is $76,000 Required Complete the inventory purchases budget by filling in the missing amounts 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 first quarter Req A Req B and C Complete the inventory purchases budget by filling in the missing amounts Inventory Purchases Budget January February March Budgeted cost of goods sold $50,000 $54,000 $60,000 Plus Desired ending inventory 10,800 Inventory needed 60,800 Less Beginning inventory 10,000 Required purchases (on account) $50,800 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 first quarter b Cost of goods sold c Ending inventory

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Finch Company sells lamps and other lighting fixtures. The purchasing department manager prepared the following inventory purchases budget. Finchs policy is to maintain an ending

Finch Company sells lamps and other lighting fixtures. The purchasing department manager prepared the following inventory purchases budget. Finchs policy is to maintain an ending inventory balance equal to 20 percent of the following months cost of goods sold. Aprils budgeted cost of goods sold is $76,000.

Required

Complete the inventory purchases budget by filling in the missing amounts.
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 first quarter.

Req A
Req B and C

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

Inventory Purchases Budget
	January	February	March
Budgeted cost of goods sold	$50,000	$54,000	$60,000
Plus: Desired ending inventory	10,800
Inventory needed	60,800
Less: Beginning inventory	10,000
Required purchases (on account)	$50,800

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 first quarter.