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A Firm Purchases $32 Million of Materials from Suppliers in January,$28

Question 55

Multiple Choice

A firm purchases $32 million of materials from suppliers in January,$28 million in February and $25 million in March.Forty percent are supplied cash on delivery.The remainder needs to be paid for in the following month.What is the cash outflow in February?


A) $26.2 million
B) $29.6 million
C) $30.4 million
D) $32.0 million

Correct Answer:

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