The purchasing department manager for Rooney Company prepared the following supplies purchases budget. Rooneys policy is to maintain an ending supplies balance equal to 10 percent of the following months supplies expense. Aprils budgeted supplies expense is $83,000.

Required

1. Complete the supplies purchases budget by filling in the missing amounts.

2. Determine the amount of supplies expense the company will report on its first quarter pro forma income statement.

3. Determine the amount of ending supplies the company will report on its pro forma balance sheet at the end of the first quarter.

Req A Req B and C Complete the supplies purchases budget by filling in the missing amoun March $ 61,000 Supplies Purchases Budget January February Budgeted supplies expense $ 51,000 $ 55,000 Plus: Desired ending supplies 5,500 Supplies needed 56,500 Less: Beginning supplies 5,100 Required purchases (on $ 51,400 account) Req A Req B and C Determine the amount of supplies expens Determine the amount of ending supplies quarter. b. Supplies expense C. Ending supplies