Assignment 2 1. Elsa Co. is preparing its cash budget and expects to purchase merchandises that cost $400,000 in March, $450,000 in April, and $500,000 in May. Assume that 30% of purchases are for cash, 30% are paid in the month after the purchase, and the remaining amount is paid 2 months after the purchase. What are the expected cash payments for May? * O $120,000 $255,000 O O $445,000 $500,000 Assignment 2 1. Elsa Co. is preparing its cash budget and expects to purchase merchandises that cost $400,000 in March, $450,000 in April, and $500,000 in May. Assume that 30% of purchases are for cash, 30% are paid in the month after the purchase, and the remaining amount is paid 2 months after the purchase. What are the expected cash payments for May? * O $120,000 O $255,000 O $445,000 O $500,000