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Ashland Corporation, a merchandising firm, is preparing its cash budget for October. The following information is available concerning its inventories: Inventories at beginning of October
Ashland Corporation, a merchandising firm, is preparing its cash budget for October. The following information is available concerning its inventories: |
Inventories at beginning of October | $ | 505,000 | |
Estimated purchases for October | 1,980,000 | ||
Estimated cost of goods sold for October | 2,025,000 | ||
Estimated payments in October for purchases in September | 495,000 | ||
Estimated payments in October for purchases prior to September | 90,000 | ||
Estimated payments in October for purchases in October | 70 | % | |
Required: |
What are the estimated cash disbursements in October? |
Cash disbursements: |
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