Games-R-Us is a retail merchandiser that buys from wholesalers and marks-up the price of products (in...

Transcribed Image Text:

Games-R-Us is a retail merchandiser that buys from wholesalers and marks-up the price of products (in order to generate a profit). Sales are budgeted at $100,000 for July and $130,000 for August. The budgeted cost of goods sold is always 30% of sales. The ending merchandise inventory is always 20% of the following month's cost of goods sold. Compute budgeted purchases for July. O $30,000 $31,800 $36,000 O $37,800 Games-R-Us is a retail merchandiser that buys from wholesalers and marks-up the price of products (in order to generate a profit). Sales are budgeted at $100,000 for July and $130,000 for August. The budgeted cost of goods sold is always 30% of sales. The ending merchandise inventory is always 20% of the following month's cost of goods sold. Compute budgeted purchases for July. O $30,000 $31,800 $36,000 O $37,800

Answer rating: 100% (QA)

To compute the budgeted purchases for July we need to follow these steps 1 Calculate the budgeted co... View the full answer