Mulligan Fruits Corporation wholesales peaches and oranges. Kimberly Priest is working with the company's accountant to prepare next year's budget. Ms. Priest estimates that sales will increase 5 percent for peaches and 10 percent for oranges. The current year's sales revenue data follow.

Based on the company's past experience, cost of goods sold is usually 60 percent of sales revenue. Company policy is to keep 10 percent of the next period's estimated cost of goods sold as the current period's ending inventory. (Hint: Use the cost of goods sold for the first quarter to determine the beginning inventory for the first quarter.)

Expected annual sales growth rate: Peaches Oranges Sales in Current Year Peaches Oranges Total Additional Information: Cost of goods sold percentage of sales revenue Ending inventory percentage of next period's cost of goods sold Part b Estimated selling and administrative expenses Part c. Estimate of ending inventory for next year: Peaches Oranges MULLIGAN FRUITS CORPORATION 5% 10% Total 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter 160,000 200,000 320,000 280,000 960,000 400,000 450,000 570,000 380.000 1.800.000 560.000 650.000 890,000 660.000 2,760,000 60% 10% 700,000 20,000 40.000