Cummings a multi-million dollar corporation, has been accumulate operating data in order to prepare an annual profit plen Details regarding Cummings sales for the first months of the year areas follows: Estimated Monthly Sales lu Type of Monthly Sales $1,200,000 Cash Sales 20% 1,300,000 Credit Sales February March 1,400.000 April 1.250.000 1480,000 May June 1.600.000 Collection for credit sal Month of One month own 40% Second month following a 25% Curing como soldies of the sale. Caming over to maintain target Inventory to yourses of merchandise for sale are mad for in the month for the The water van Cost of poods for Cummings of for the month the operating website below. All of these were not the year and paid innebygnind roperty and at the Tin And O Doe ASUS VivoBook 45 12 1/ 29 710 Erd * Call A 2 & a 6 7 8 9 0 Il 2 14 Y U O cos H J K L Advertising $1,440,000 Depreciation 840,000 Insurance 360,000 Property taxes 480,000 Salaries 2,160,000 Determine the amount for cost of goods sold that will appear on Cummings Corporation's pro forma Income statement for the month of February 1 Cumming, a multi- mon dollar corporation, has been accumulating operating data in order to prepare an annual proti plan. Details regarding Cummings sales for the first st months of the year are follows: Estimated Monthly Sales January February Type of Monthly Sales $1,200,000 Cash Sales 20% 1,300,000 Credit Sales BON 1,400,000 March April 1,250,000 May 1.440,000 June 1,600.000 Collection pattern for credit sales A Month of sales 30% One month following sale 40% Second month following sale 25% Cummings cost of goods sold average box of the sales value. Cummings objective is to maintain a target inventory equal to Box of the next month's sales. Purchases of merchandise for resale are paid for in the month following the sale The variable operating expenses other than Cost of goods sold) for Cummings are 10% of sales and are paid for in the month following the sale. The annual fixed operating expenses are presented below. All of these are incurred uniformly throughout the year and paid monthly except for insurance and property taxes Insurance is paid quarterly in Sanuary, April, July and October Property taxes are paid twice a year in April and October O ASUS VivoBook End 110 TIT 180/ 6 7 8 9 0 VA 1/2 P. 1 Y 10 U L ; H twice a year in April and October yes are paid Annual Feed Operating costs Advertising Deprecation $1.440,000 840,000 360,000 Insurance Property taxes Salaries 480,000 2,160,000 Determine the amount for cost of goods sold that will appear on Cummings Corporation's pro forma Income statement for the month of February I o O i ASUS VivoBook bul 110 End/ 17 O/C & 6 7 8 9 0 VA 3/4 V2 2 Y U COS . J K L