Fosnight Enterprises prepared the following sales budget: Budgeted Sales Month March $4,000 April May June $10,000...

 

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Fosnight Enterprises prepared the following sales budget: Budgeted Sales Month March $4,000 April May June $10,000 $11,000 $19,000 The expected gross profit rate is 10% and the inventory at the end of February was $15,000 Desired inventory levels at the end of the month are 20% of the next month's cost of goods sold. What is the desired ending inventory on May 317 Fosnight Enterprises prepared the following sales budget: Budgeted Sales Month March $4,000 April May June $10,000 $11,000 $19,000 The expected gross profit rate is 10% and the inventory at the end of February was $15,000 Desired inventory levels at the end of the month are 20% of the next month's cost of goods sold. What is the desired ending inventory on May 317

Answer rating: 100% (QA)

SOLUTION To calculate the desired ending inventory for May we need to first calculate the cost of go... View the full answer