Question
Finch, Inc. sells fireworks. The companys marketing director developed the following cost of goods sold budget for April, May, June, and July. April May June
Finch, Inc. sells fireworks. The companys marketing director developed the following cost of goods sold budget for April, May, June, and July. April May June July Budgeted cost of goods sold $75,000 $85,000 $95,000 $101,000 Finch had a beginning inventory balance of $4,100 on April 1 and a beginning balance in accounts payable of $15,300. The company desires to maintain an ending inventory balance equal to 20 percent of the next periods cost of goods sold. Finch makes all purchases on account. The company pays 65 percent of accounts payable in the month of purchase and the remaining 35 percent in the month following purchase.
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Prepare a schedule of cash payments for inventory for April, May, and June.
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