Question
Fosnight Enterprises prepared the following sales budget: Month Budgeted Sales March $5,000 April $14,000 May $13,000 June $15,000 The expected gross profit rate is 20%
Fosnight Enterprises prepared the following sales budget:
| Month | Budgeted Sales |
| March | $5,000 |
| April | $14,000 |
| May | $13,000 |
| June | $15,000 |
The expected gross profit rate is 20% and the inventory at the end of February was $6,000. Desired inventory levels at the end of the month are 10% of the next month's cost of goods sold.
What are the total purchases budgeted for May?
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Financial Forensics Body Of Knowledge
Authors: Darrell D. Dorrell, Gregory A. Gadawski
1st Edition
0470880856, 978-0470880852
