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Macheski Company, an importer and retailer of Polish pottery and kitchenware, prepares a monthly master budget. Data for the July master budget are given below:
Macheski Company, an importer and retailer of Polish pottery and kitchenware, prepares a monthly master budget. Data for the July master budget are given below: June 30th Balance sheet data Cash $25,000; A/R $110,000; Inventory $54,000; Building & Equipment (net) $250,000; A/P $45,000; Capital Stock $300,000; Retained Earnings $94,000 Actual Sales for June and budgeted sales for July, August, and September are given below: June $137,500; July 360,000; Aug. 400.000: Sept. 320.000 Sales are 20% for cash and 80% on credit. All credit sales are collected in the month following the sales. There are no bad debts. The gross margin percentage is 40 percent of sales. The desired ending inventory is equal to 25 percent of the following month's sales. One fourth of the purchases are paid for in the month of purchase and the others are purchased on account and paid in full the following month. The monthly cash operating expenses are S43,000, and the monthly depreciation expenses are $7,000. What are the total assets at the end of July? lu A. $439,000 .B. $446,500 C. $515,500 D. $653,500
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