A business sells $ 60,000 and $ 80,000 worth of goods in January and February respectively. The controller indicates that 50% of the customers pay their bills on a cash basis, 40% in 30 days and 10% in 60 days. During the month of January and February, the company purchased 30,000 and $50,000 worth of goods from suppliers respectively. The company's policy is to pay 50% on a cash basis and the other 50% during the following 30 days. The monthly administrative expenses are broken down as
follows:

The company's opening cash balance for the month of January is $ 1,000.
-Monthly administrative expenses are as follows:
January________________________
February________________________
March________________________

Question

A business sells $ 60,000 and $ 80,000 worth of goods in January and February respectively. The controller indicates that 50% of the customers pay their bills on a cash basis, 40% in 30 days and 10% in 60 days. During the month of January and February, the company purchased 30,000 and $50,000 worth of goods from suppliers respectively. The company's policy is to pay 50% on a cash basis and the other 50% during the following 30 days. The monthly administrative expenses are broken down as 
follows:

The company's opening cash balance for the month of January is $ 1,000.
-Monthly administrative expenses are as follows:
 January________________________
 February________________________
 March________________________

Quizplus · Accepted Answer

The Answer of A business sells $ 60,000 and $ 80,000 worth of goods in January and February respectively. The controller indicates that 50% of the customers pay their bills on a cash basis, 40% in 30 days and 10% in 60 days. During the month of January and February, the company purchased 30,000 and $50,000 worth of goods from suppliers respectively. The company's policy is to pay 50% on a cash basis and the other 50% during the following 30 days. The monthly administrative expenses are broken down as 
follows:

The company's opening cash balance for the month of January is $ 1,000.
-Monthly administrative expenses are as follows:
 January________________________
 February________________________
 March________________________

A Business Sells $ 60,000 and $ 80,000 Worth of Goods