Sales are budgeted at $350,000. all sales are on account and a provision for bad debts is made for each month at two percent of sales for the month. inventory was $101,000 on april 30; an inventory increase of $14,000 is planned for may 31. all inventory is marked to sell at cost plus 40 percent. estimated cash disbursements for selling and administrative expenses for the month are $65,000. depreciation for may is projected at $7,700. brownsville's budgeted cost of goods sold (cgs) in may is:

University hero is considering expanding operations beyond its healthy sandwiches. jim axelrod, vice president of marketing, would like to add a line of smoothies with a similar health emphasis. each smoothie would include two free health supplements such as vitamins, antioxidants, and protein. jim believes smoothie sales should fill the slow mid-afternoon period. adding the line of smoothies would require purchasing additional freezer space, machinery, and equipment. jim provides the following projections of net sales, net income, and average total assets in support of his proposal. sandwichesonly sandwiches and smoothies net sales $ 750,000 $ 1,350,000 net income 120,000 210,000 average total assets 350,000 750,000 return on assetschoose numerator ÷ choose denominator = return on assets÷ = return on assets÷ = profit margin÷ = profit margin÷ = asset turnover÷ = asset turnover÷ = times