Question
Billy Bob Tacos pays for 60% of its inventory purchases in the month of the purchase and the remainder in the following month. The company's
Billy Bob Tacos pays for 60% of its inventory purchases in the month of the purchase and the remainder in the following month. The company's inventory purchases totaled $780,000 in October, $940,000 in November, and $840,000 in December. The company also paid for new equipment with a total cost of $520,000 in November and made an income tax payment of $130,000 in December. Salaries and wages were paid as follows: $325,000 in October, $320,000 in November and $295,000 in December. Determine the company's cash disbursements for NovemberandDecember.
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