Review your results from S22-3. Grippers expects cost of goods sold to average 60% of sales revenue, and the company expects to sell 4,100 pairs of shoes in March for $260 each. Grippers' target ending inventory is $10,000 plus 50% of the next month's cost of goods sold.
Requirement
1. Use this information and the sales budget prepared in S22-3 to prepare Grippers' inventory, purchases, and cost of goods sold budget for January and February.