The following information pertains to the January operating budget C corporation budgeted sales for January 200,000 in February 100 $ collection for cells are 60% in the month of sale for 40% gross margin is 40% of sales administrative costs are 20,000 each month beginning accounts receivable is 20,000 beginning inventory is 14,000

beginning accounts payable is 65,000 from inventory purchases purchases are paid in full in the following month desired ending inventory is 20% of next month cost of goods sold COGS for January budgeted net income is blank

30,000 40,000 60,000 or 50,000