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- Sales are budgeted at $291,000 for January, $311,000 for February, and $211,000 for March. - The company expects to collect 70% from its customers
- Sales are budgeted at $291,000 for January, $311,000 for February, and $211,000 for March. - The company expects to collect 70% from its customers in the month of sale and 30% in the month following the sale. - The cost of goods sold is 75% of sales. - The desired ending inventory at the end of each month is equal to 80% of the next month's cost of goods sold. - All inventory purchases are paid in the month following the purchase. - Other monthly expenses to be paid in cash are $21,200. - Monthly depreciation is $21,500. - Ignore taxes. Multiple Choice $126,600 $173,250 $46,650 $233,250
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