Adi Manufacturing Corporation is estimating the following raw material purchases for the final four months of the year: At Adi,30% of raw materials purchases are normally paid for in the month of purchase.The remaining 70% is paid for in the month following the purchase. How much cash should Adi expect to pay out for raw material purchases during November?

Question

Adi Manufacturing Corporation is estimating the following raw material purchases for the final four months of the year:  At Adi,30% of raw materials purchases are normally paid for in the month of purchase.The remaining 70% is paid for in the month following the purchase. How much cash should Adi expect to pay out for raw material purchases during November?

Quizplus · Accepted Answer

The Answer of Adi Manufacturing Corporation is estimating the following raw material purchases for the final four months of the year:  At Adi,30% of raw materials purchases are normally paid for in the month of purchase.The remaining 70% is paid for in the month following the purchase. How much cash should Adi expect to pay out for raw material purchases during November?

Adi Manufacturing Corporation Is Estimating the Following Raw Material Purchases