Mickey Company has the following information: $$\begin{array} { l c }
\text { Month } & \text { Budgeted Purchases } \
\text { January } & \$ 26,800 \
\text { February } & 29,000 \
\text { March } & 30,520 \
\text { April } & 29,480 \
\text { May } & 27,680
\end{array}$$ Purchases are paid for in the following manner: $10 \%$ in the month of purch ase
$50 \%$ in the month after purch as e
$\mathbf { 4 0 } \%$ two months after purch as e is the estimated cash disbursement in March from January purchases.

Question

Mickey Company has the following information: $$\begin{array} { l c } 
\text { Month } & \text { Budgeted Purchases } \
\text { January } & \$ 26,800 \
\text { February } & 29,000 \
\text { March } & 30,520 \
\text { April } & 29,480 \
\text { May } & 27,680
\end{array}$$ Purchases are paid for in the following manner: $10 \%$ in the month of purch ase
$50 \%$ in the month after purch as e
$\mathbf { 4 0 } \%$ two months after purch as e is the estimated cash disbursement in March from January purchases.

Quizplus · Accepted Answer

The Answer of Mickey Company has the following information: $$\begin{array} { l c } 
\text { Month } & \text { Budgeted Purchases } \
\text { January } & \$ 26,800 \
\text { February } & 29,000 \
\text { March } & 30,520 \
\text { April } & 29,480 \
\text { May } & 27,680
\end{array}$$ Purchases are paid for in the following manner: $10 \%$ in the month of purch ase
$50 \%$ in the month after purch as e
$\mathbf { 4 0 } \%$ two months after purch as e is the estimated cash disbursement in March from January purchases.

Mickey Company Has the Following Information Purchases Are Paid for in the Following Manner