Homework Help: Merchandize inventory

Posted by Anonymous on Monday, July 28, 2008 at 10:38pm.

MJ Department Store expects to generate the following sales figures for the next three months:

July

August

September
Expected sales

$476,000

$558,000

$604,000

MJ's gross profit rate is 44% of sales dollars. At the end of each month, MJ wants a merchandise inventory balance equal to 30% of the following month's expected sales, stated at cost. What dollar amount of merchandise inventory should MJ plan to purchase in August?

$316,208

$320,208

$358,208

$333,208

Merchandize inventory - SraJMcGin, Monday, July 28, 2008 at 11:11pm
Sorry, but if you are trying to "cut and paste" it will not work here. You will need to retype everything. Then come back and be sure it all posted.
Merchandize inventory - heheh, Wednesday, August 26, 2009 at 2:23pm
hehehe

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