Question
Winterfell is a wholesaler of snow boots for dogs. Actual January sales revenue totaled $300,000. February sales are expected to increase 10% over Januarys sales.
Winterfell is a wholesaler of snow boots for dogs. Actual January sales revenue totaled $300,000. February sales are expected to increase 10% over Januarys sales. Marchs sales are expected to increase 15% over Februarys sales. Prices are set to achieve a 70% gross profit. Winterfell wants to maintain an ending merchandise inventory equal to 25% of the next months cost of sales. This requirement was met on February 1st.
What are the companys budgeted purchases for the month of February? Round to the nearest dollar.
A. $330,000
B. $99,000
C. $239,663
D. $102,713
E. $270,000
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