Month Budgeted Sales March April May June $400,000 207,000 241,000 248,000 Cost of goods sold is budgeted at 40% of sales, and the inventory at the end of February was $34,000. Desired inventory levels at the end of each month are 10% of the next month’s cost of goods sold. What is the desired beginning inventory on June 1? $9,640 $9,920 $24,800 $96,400
(Answered) : Month Budgeted Sales March April May June $400,000 207,000 241,000 248,000 Cost of goods sold is budgeted at 40% of sales, and the
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Desired beginning inventory on June 1 = 241000*40%*10%= $9640
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