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Ahmed Company purchases all merchandise on credit. It recently budgeted the following month-end accounts payable...

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Accounting

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Ahmed Company purchases all merchandise on credit. It recently budgeted the following month-end accounts payable balances and merchandise Inventory balances. Cash payments on accounts payable during each month are expected to be: May, $1,300,000: June, $1,400,000, July, $1,300,000, and August, $1,600,000 Accounts Merchandise Payable Inventory $100.000 $240,000 120.000 200.000 200.000 400,000 130.000 380,000 May 31 June 30 July 31 August 31 points August References (1) Compute the budgeted amounts of merchandise purchases. Budgeted amounts: June July Ending accounts payable Payments on account Subtotal Beginning accounts payable Purchases August (2) Compute the budgeted amounts of cost of goods sold Budgeted amountsi June July Beginning inventory Purchases Cost of goods available for sale Ending inventory 200 0001 400 000) Cost of goods sold ( 3 000)

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