Sand Dollar 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, $1,400,000; June, $1,500,000; July, $1,300,000; and August, $1,500,000.
AccountPayable Merchandise Inventory
May 31 $ 150,000 $ 200,000
June 30 150,000 200,000
July 31 400,000 400,000
August 31 120,000 350,000

1. ComCompute the budgeted amounts of cost of goods sold for June, July, and August. Compute the budgeted amounts of merchandise purchases for June, July, and August.
Any idea about this question would be appreciated to solve this problem.

I think if you look at the responses to you other question, you may see where to start with this. Make an attempt and we'll help you from there. Thanks.

I checked out the links and tri to figure out my problem according to those problems, but can't figure out, If it is okay you can explain to me about how to compute the budgeted amount of cost of good sold and merchandise purchases for June. Will be very thankful for your help, I know I am asking too much, But I tried my best and now exhausted. Please help

I think this one is the harder of your two questions. Let's see if you can work through the other one first, and that might make this easier to understand. It's almost midnight here and I have to work tomorrow, so I need to get some sleep now.

Thanks for all your help, I was able to calculate the other probolem. Again Thank you very much for all your help. Yeah sure, I will wait until tomarrow and maybe will come up with some new questions, Thanks again