FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Skyland Company wants an
ending inventory each month
equal to 24% of that month's
cost of goods sold. Cost of goods
sold for February is projected at
$89,000. Ending inventory at
the end of January was
$30,000.
Based on this information,
purchases for February would
be:
a) $59,000
b) $80,360
c) $97,640
d) $67,640
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Transcribed Image Text:Skyland Company wants an ending inventory each month equal to 24% of that month's cost of goods sold. Cost of goods sold for February is projected at $89,000. Ending inventory at the end of January was $30,000. Based on this information, purchases for February would be: a) $59,000 b) $80,360 c) $97,640 d) $67,640
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