Working note | |||||
Feb | Mar | April | May | June | |
Budgeted Sales | 60000 | 51000 | 40000 | 70000 | 72000 |
Budgeted Cost of goods Sold | 42000 | 35700 | 28000 | 49000 | 50400 |
Desired
Ending Inventory (30% of Next Month Sales) |
10710 | 8400 | 14700 | 15120 | |
Beginning Inventory | 12600 | 10710 | 8400 | 14700 | 15120 |
Purchase Budget | |||||
April | May | June | Total | ||
Cost of Goods Sold | 28000 | 49000 | 50400 | ||
Add: Ending Inventory | 14700 | 15120 | 0 | ||
Less: Beg Inventory | 8400 | 14700 | 15120 | ||
Purchase Quantity | 34300 | 49420 | 35280 | 119000 |
Question 5: Master Budgeting • Time: 30 minutes • Total: 16 marks Guava Inc. has the...
Question 5: Master Budgeting • Time: 30 minutes • Total: 16 marks Guava Inc. has the following information: Month February March Budgeted Sales $60.000 51000 40,000 70,000 72,000 April | May June In addition, the cost of goods sold rate is 7094 and the desired inventory level is 30% of next month's cost of sales. Required: Prepare a purchases budget for April through June and summarize the total purchases for the quarter. oner open eventory of April - 10/0 gead...
sales Question 5: Master Budgeting • Time: 30 minutes • Total: 16 marks ending invento is 30% of Gob Net Guava Inc. has the following information: Month February March Budgeted Sales $60,000 51,000 40,000 70,000 72,000 April May June In addition, the cost of goods sold rate is 70% of previous month and the desired ending inventory level is 30% of next month's cost of sales. open eventy for month of April 10710 Required: Prepare a purchases budget for April...