Discount Plus Store is a local discount store with the following information:

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Read the requirements.

Requirement $1.$ Prepare the sales budget for November and December.

Discount Plus Store

Sales Budget

For the Months of November and December

Requirement $2.$ Prepare the cost of goods sold, inventory, and purchases budget for $N$

Discount Plus Store

Cost of Goods Sold, Inventory, and Purchases Budget

For the Months of November and December

Cost of goods sold

Data table

October sales are projected to be $$320,000.$

Sales are projected to increase by $20\%$ in November and another $30\%$ in December and then return to the October level in January.

$40\%$ of sales are made in cash while the remaining $60\%$ are paid by credit or debit cards. The credit card companies and banks $($debit card issuers$)$ charge a $5\%$ transaction fee, and deposit the net amount $($sales price less the transaction fee$)$ in the store's bank account daily. The store does not accept checks. Because of the payment mechanisms, there is no risk of non$-$payment or bad$-$debts.

The store's gross profit is $40\%$ of its sales revenue.

For the next several months, the store wants to maintain an ending merchandise inventory equal to $$18,000$ plus $15\%$ of the next month's cost of goods sold. All purchases for merchandise are made on account and paid in the month following the purchase. The September $30$ inventory is expected to be $$46,800.$

Expected monthly operating expenses and details about payments include the following:

Wages of store workers should be $$7,500$ per month and are paid on the last day of each month.

Utilities expense is expected to be $$1,300$ per month in September, October, and November.

Utilities expense is expected to be $$1,900$ per month during the colder months