Q. 1

Part 1 The Rusty Auto Parts Company has sales of $30,000 every month. Its retail prices are twice the wholesale cost (a 100% markup). It buys its parts one 1 month before it anticipates making a sale. What is the inventory at the end of the month?

Part 2 The Rusty Auto Parts Company has sales of $30,000 every month. Its retail prices are twice the wholesale cost (a 100% markup). It buys its parts one 1 month before it anticipates making a sale and it pays its suppliers one 1 month after making a purchase. What are accounts payable at the end of the month?