Humboldt, Incorporated sells fireworks. The company's marketing director developed the following cost of goods sold budget for April, May, June, and July.

$\backslash$table$[[$Budgeted cost of goods sold,April,May,June,July$],[37,500,$$$34,000,$$$30,000,$$$45,000,]]$

Humboldt had a beginning inventory balance of $$1,800$ on April $1$ and a beginning balance in accounts payable of $$7,400.$ The company desires to maintain an ending inventory balance equal to $10$ percent of the next period's cost of goods sold. Humboldt makes all purchases on account. The company pays $60$ percent of accounts payable in the month of purchase and the remaining $40$ percent in the month following purchase.

Required

a$.$ Prepare an inventory purchases budget for April, May, and June.

b$.$ Determine the amount of ending inventory Humboldt will report on the end$-$of$-$quarter pro forma balance sheet.

c$.$ Prepare a schedule of cash payments for inventory for April, May, and June.

d$.$ Determine the balance in accounts payable Humboldt will report on the end$-$of$-$quarter pro forma balance sheet.

Complete this question by entering your answers in the tabs below.

Required B

Required C

Required D

Prepare an inventory purchases budget for April, May, and June.

$\backslash$table$[[$Inventory Purchases Budget,April,May,June$],[$Budgeted cost of goods sold,$37,500,34,000,30,000],[,,,],[$Inventory needed,,,$],[,,,],[$Required purchases $($on account$),,,]]$