What is the amount of sales revenue that the company will report on the second quarter pro forma income statement?
A) $1,335,000
B) $1,129,800
C) $1,207,000
D) $1,001,800

Question

Quizplus · Accepted Answer

Sales revenue = April sales + May sales + June sales
Sales revenue = ($30,000 + $370,000)+ ($43,000 + $432,000)+ ($55,000 + $405,000)= $1,335,000
Use the following information to answer questions 77 through 81:
Sentra Sporting Company sells tennis rackets and other sporting equipment.The purchasing department manager prepared the inventory purchases budget.Sentra's policy is to maintain an ending inventory balance equal to 15% of the following month's cost of goods sold.January's budgeted cost of goods sold is $70,000.
October
November
December
Budgeted Cost of Goods Sold
60,000
40,000
50,000
Plus: Desired Ending Inventory
6,000
?
?
Inventory Needed
66,000
?
?
Less: Beginning Inventory
9,000
?
?
Required purchases (on account)
57,000
?
?

What Is the Amount of Sales Revenue That the Company