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Accounting

The Butterfly Corporation had the following information that pertained to its March budget:

• Budgeted sales are $200,000 for February.
• Collections of sales are 50% in the month of sale and 50% the next month.
• Cost of goods sold averages 70% of sales.
• Merchandise purchases total $150,000 in February.
• Marketing costs are $3000 each month.
• Administrative costs are $15,000 each month.
What is the budgeted gross margin in dollars for February?

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M9415186

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