Fosnight Enterprises prepared the following sales budget: The expected gross profit rate is 10% and the inventory at the end of February was $15,000. Desired inventory levels at the end of the month are 30% of the next month's cost of goods sold.
What is the desired ending inventory on May 31?

Question

Fosnight Enterprises prepared the following sales budget:  The expected gross profit rate is 10% and the inventory at the end of February was $15,000. Desired inventory levels at the end of the month are 30% of the next month's cost of goods sold.
What is the desired ending inventory on May 31?

Quizplus · Accepted Answer

The Answer of Fosnight Enterprises prepared the following sales budget:  The expected gross profit rate is 10% and the inventory at the end of February was $15,000. Desired inventory levels at the end of the month are 30% of the next month's cost of goods sold.
What is the desired ending inventory on May 31?

Fosnight Enterprises Prepared the Following Sales Budget: the Expected