Figure 9-7. Lambert Company purchased $140,000 of goods in September and expects to purchase $130,000 of goods in October.Lambert typically pays for 20 percent of purchases in the month of purchase and 80 percent in the following month.
Every month,Lambert must make the following payments:
In mid-October,Lambert expects to buy a new computer for $4,500 using the company credit card.Typically,the credit card bill is paid in full in the following month.September credit card purchases totaled $6,000.
Refer to Figure 9-7.What are the total cash disbursements expected by Lambert during the month of October?

Question

Figure 9-7. Lambert Company purchased $140,000 of goods in September and expects to purchase $130,000 of goods in October.Lambert typically pays for 20 percent of purchases in the month of purchase and 80 percent in the following month.
Every month,Lambert must make the following payments:
 In mid-October,Lambert expects to buy a new computer for $4,500 using the company credit card.Typically,the credit card bill is paid in full in the following month.September credit card purchases totaled $6,000.
Refer to Figure 9-7.What are the total cash disbursements expected by Lambert during the month of October?

Quizplus · Accepted Answer

The Answer of Figure 9-7. Lambert Company purchased $140,000 of goods in September and expects to purchase $130,000 of goods in October.Lambert typically pays for 20 percent of purchases in the month of purchase and 80 percent in the following month.
Every month,Lambert must make the following payments:
 In mid-October,Lambert expects to buy a new computer for $4,500 using the company credit card.Typically,the credit card bill is paid in full in the following month.September credit card purchases totaled $6,000.
Refer to Figure 9-7.What are the total cash disbursements expected by Lambert during the month of October?