STEP 3: Using the following data in sections d) and e) complete the Merchandise Purchases Budget. Use cell references and formulas wherever possible (9 marks): d) Accounts Payable & Inventory: Purchases are paid for as follows: \begin{tabular}{|c|c|c|} \hline Purchases Paid in the month of purchase & \begin{tabular}{c} Purchases Paid in the month following the \\ purchase \end{tabular} & June 30th Accounts Payable Balance \\ \hline 50% & 50% & $15,000 \\ \hline \end{tabular} e) The inventory levels based on company policy are as follows: \begin{tabular}{|c|c|} \hline \begin{tabular}{c} Ending Inventory based on next month's \\ COGS \end{tabular} & Inventory at June 30th \\ \hline 75% & $19,000 \\ \hline \end{tabular} \begin{tabular}{|c|c|c|c|c|} \hline & \multicolumn{4}{|c|}{ Merchandise Purchases Budget (\$) } \\ \hline & & July & August & September \\ \hline & Budgeted Cost of Goods Sold & $24,800.00 & $40,800.00 & $30,800.00 \\ \hline & Add: Desired ending inventory (\$) & & & \\ \hline & Total needs & $24,800.00 & $40,800,00 & $30,800.00 \\ \hline & Less: Beginning Inventory & & & \\ \hline & Inventory Purchases required (S) & & & \\ \hline \end{tabular} 87