Crouse Corporation has the following information:
The cost of goods sold percentage is 65 percent, and the desired inventory level is 25 percent of next month's sales.
-The desired ending inventory for July is

Question

Crouse Corporation has the following information:
  The cost of goods sold percentage is 65 percent, and the desired inventory level is 25 percent of next month's sales.
-The desired ending inventory for July is

Quizplus · Accepted Answer

The desired ending inventory for July is $39,000. This is because the company wants to have enough inventory on hand to meet customer demand, but not so much that it has to pay storage costs.

Crouse Corporation Has the Following Information