Tuscarora, Inc., a merchandising company, has the following budgeted figures: Jan Feb Mar April Sales $ 56 comma 600 $ 61 comma 000 $ 81 comma 000 $ 93 comma 000 Cost of goods sold 60% of sales Required ending inventory $ 15 comma 000 + 20% of next month's sales Inventory on hand on Jan 1 $ 27 comma 000 Calculate the budgeted purchases for the month of January. A. $ 27 comma 200 B. $ 6 comma 760 C. $ 61 comma 160 D. $ 34 comma 160

D. $34,160 is the budgeted purchases for the month of January.

Explanation:

a) Budgeted purchases is equal to cost of goods sold plus closing inventory minus opening inventory, i.e. $33,960 + $27,200 - $27,000 = $34,160.

b) Cost of goods sold equals 60% of Sales ($56,600) = $33,960.

c) Closing inventory equal $15,000 + 20% of February Sales ($61,000) = $27,200.

So, to get purchases, we work back from cost of sales and add the closing inventory, which gives the cost of goods available for sale, then we deduct the opening inventory ($27,000, which is given).

answer; yield to maturity;

answer///supply is elastic, and demand is inelastic;