Lough Company prepared the following purchases budget: All purchases are paid for as follows: 5% two months after purchase, 40% in the following month, and 55% in the month of purchase.
What are the total cash disbursements in August to account for the purchase of merchandise at Lough Company?

Question

Lough Company prepared the following purchases budget:  All purchases are paid for as follows: 5% two months after purchase, 40% in the following month, and 55% in the month of purchase.
What are the total cash disbursements in August to account for the purchase of merchandise at Lough Company?

Quizplus · Accepted Answer

The Answer of Lough Company prepared the following purchases budget:  All purchases are paid for as follows: 5% two months after purchase, 40% in the following month, and 55% in the month of purchase.
What are the total cash disbursements in August to account for the purchase of merchandise at Lough Company?

Lough Company Prepared the Following Purchases Budget: All Purchases