At the end of 2021, Accounts Payable totaled $6,000. During the first quarter of 2021, Hastings Corp. purchases $80,000 of raw materials to be used in production. Hastings Corp. buys all raw materials on account and pays for 60% of the purchase in the quarter they were purchased and 40% in the next quarter. What are cash disbursements for quarter 1 of 2021?

• A. $38,000
• B. $48,000
• C. $54,000
• D. $42,000