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The manager of MN Company give you the following data to prepare the required purchases for the coming three months (January, February and March) Estimated
| The manager of MN Company give you the following data to prepare the required purchases for the coming three months (January, February and March) | ||
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| Estimated sales for January | $100,000 | ? |
| Sales increase by | 5% | for the coming three months |
| Cost of goods sold (CGS) | 60% | of sales |
| Beginning inventory | $12,000 |
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| Ending inventory equal to | 20% | of next month CGS |
Find the total purchases needed for March.
| 1. | between $60,000 and $61,000 | |
| 2. | between $63,000 and $64,000 | |
| 3. | between $66,000 and $67,000 | |
| 4. | between $68,000 and $69,000 |
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