Purchases on account are given below: 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.
The accounts payable balance at the beginning of the year was $85,000. The company purchased $380,000 worth of goods on account, and the ending balance of the payables account was $70,000.
What were the total payments on account?
A) $450,000
B) $395,000
C) $535,000
D) $465,000
Correct Answer:
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