Moore Wholesalers is preparing its merchandise purchases budget. Budgeted sales are $414,600 for April and $517,900 for May. The cost of goods sold is expected to be 61% of sales. The company's desired ending inventory is 22% of the following month's cost of goods sold. Compute the required purchases for April.

Moore Wholesalers is preparing its merchandise purchases budget. Budgeted sales are $414,600 for April and $517,900 for May. The cost of goods sold is expected to be 61% of sales. The company's desired ending inventory is 22% of the following month's cost of goods sold. Compute the required purchases for April.

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter7: The Master Budget And Flexible Budgeting

Section: Chapter Questions

Problem 1E: The sales department of Macro Manufacturing Co. has forecast sales for its single product to be...

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