Question
Galina, Inc. has prepared the following direct materials purchases budget: Month Budgeted DM purchases June $69,000 July 78,500 August 78,100 September 76,000 October 78,200 All
Galina, Inc. has prepared the following direct materials purchases budget:
Month Budgeted DM purchases
June $69,000
July 78,500
August 78,100
September 76,000
October 78,200
All purchases are paid for as follows: 40% in the month of purchase; 50% in the following month; and 10% two months after purchase. Calculate the budgeted balance of accounts payable at the end of October.
| | A. | $46,920 |
| | B. | $54,520 |
| | C. | $7,600 |
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B 54520 Budgeted Accounts Payable ...
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Fundamental Managerial Accounting Concepts
Authors: Thomas Edmonds, Christopher Edmonds, Bor Yi Tsay, Philip Old
7th edition
978-0077632427, 77632427, 78025656, 978-0078025655
