Fedor,Inc.has prepared the following direct materials purchases budget:

All purchases are paid for as follows: 10% in the month of purchase,40% in the following month,and 50% two months after purchase.Calculate total budgeted cash payments made in October for purchases.

Question

Fedor,Inc.has prepared the following direct materials purchases budget:

All purchases are paid for as follows: 10% in the month of purchase,40% in the following month,and 50% two months after purchase.Calculate total budgeted cash payments made in October for purchases.

Quizplus · Accepted Answer

D)
Payments in October:
For Oct.purchases
 11ea86ed_2b61_9d68_8b27_f14b70ff44ba_TB3056_00 For Sept.purchases
 11ea86ed_2b61_c479_8b27_f3f14c2d0316_TB3056_00 For Aug.purchases
 11ea86ed_2b61_c47a_8b27_b3e0e7d58854_TB3056_00

Fedor,Inc.has Prepared the Following Direct Materials Purchases Budget