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Adi Manufacturing Corporation is estimating the following raw material purchases for the final four months of the year: September $838,000 October $1,046,000 November $852,000 December

Adi Manufacturing Corporation is estimating the following raw material purchases for the final four months of the year:

September $838,000
October $1,046,000
November $852,000
December $884,000

At Adi, 25% of raw materials purchases are normally paid for in the month of purchase. The remaining 75% is paid for in the month following the purchase. In Adi's budgeted balance sheet at December 31, at what amount will accounts payable for raw materials be shown?

$884,000

$639,000

$221,000

$663,000

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