Purchases on account are given below: $$\begin{array} { | r | r | r | }
\hline \text { October } & \text { November } & \text { December } \
\hline 30,000 & 40,000 & 50,000 \
\hline
\end{array}$$ 55% of the month's purchases will be paid in the month of the purchase; the remaining 45% will be paid in the following month.
How much will the cash payments for purchases be in November?

Question

Purchases on account are given below: $$\begin{array} { | r | r | r | } 
\hline \text { October } & \text { November } & \text { December } \
\hline 30,000 & 40,000 & 50,000 \
\hline
\end{array}$$ 55% of the month's purchases will be paid in the month of the purchase; the remaining 45% will be paid in the following month.
How much will the cash payments for purchases be in November?

Quizplus · Accepted Answer

55% of November's purchases of $40,000 will be paid in November, which is $40,000 x 55% = $22,000. 45% of October's purchases of $30,000 will also be paid in November, which is $30,000 x 45% = $13,500. Therefore, the total cash payments for purchases in November will be $22,000 + $13,500 = $35,500.

Purchases on Account Are Given Below 55% of the Month's Purchases Will Be Paid in the |