Palermo Wholesalers is preparing its merchandise purchases budget. Budgeted sales are $400,000 for April and $475,000 for May. Cost of goods sold is expected to be 60% of sales. The company's desired ending inventory is 20% of the following month's cost of goods sold. Compute the required purchases for April.© BrainMass Inc. brainmass.com June 4, 2020, 12:49 am ad1c9bdddf
Computations are made in excel so it can serve as a template for other problems.