How much merchandise inventory will arizona need


Arizona Corporation has a sales budget for next month of $200,000. Cost of goods sold is expected to be $100,000. All goods are pruchased in the month used and paid for in the month following their purchase. The beginning inventory of merchandise is $8,000 and an ending inventory of $6,000 is desired. Beginning accounts payable is $26,000. How much merchandise inventory will Arizona need to purchase next month?

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Accounting Basics: How much merchandise inventory will arizona need
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