Lumpkin company sells lamps and other lighting fixtures. the purchasing department manager prepared the following inventory purchases budget. lumpkin’s policy is to maintain an ending inventory balance equal to 10 percent of the following month’s cost of goods sold. april’s budgeted cost of goods sold is $40,000. determine the amount of cost of goods sold the company will report on its first quarter pro forma income statement.

Google started as one of many internet search engines, amazon started as an online book seller, and ebay began as a site where people could sell used personal items in auctions. these firms have grown to be so large and dominant that they are facing antitrust scrutiny from competition regulators in the us and elsewhere. did these online giants grow by fairly beating competition, or did they use unfair advantages? are there any clouds on the horizon for these firms -- could they face diseconomies of scale or diseconomies of scope as they continue to grow? if so, what factors may limit their continued growth?