Use the Following Information for the Next 5 Questions

question 130

Multiple Choice

Use the following information for the next 5 questions.
Kelita, Inc., projects sales for its first three months of operation as follows: Inventory on October 1 is $40,000. Subsequent beginning inventories should be 40% of that month's cost of goods sold. Goods are priced at 140% of their cost. 50% of purchases are paid for in the month of purchase; the balance is paid in the following month. It is expected that 50% of credit sales will be collected in the month following sale, 30% in the second month following the sale, and the balance the third month. A 5% discount is given if payment is received in the month following sale.
-What is the projected cost of purchases for October?

• A) $80,000
• B) $93,333
• C) $120,000
• D) $180,000

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Definitions:

Denatured

Loss of a protein’s or enzyme’s normal shape so that it no longer functions; usually caused by a less than optimal pH and temperature.

Enzyme Structurally

Refers to the three-dimensional arrangement of atoms in an enzyme, which is critical for its catalytic activity and specificity.

Cofactor

Nonprotein assistant required by an enzyme in order to function. Many cofactors are metal ions; others are coenzymes.

Inhibitor

A substance that slows down or prevents a particular chemical reaction or other process.