Dorothy is budgeting for the following expenses in September:

Utilities $ 700

Rent 800

Depreciation 1,400

Allowance for defective units 300

Taxes 1,000

Additional information:

Utilities are paid for in the month of expense

Rent is paid in January

Depreciation includes $200 which relates to the cash purchase of a new $7,200 piece of equipment in September

Taxes are estimated to total $12,000 for the year. A $2,800 quarterly payment has to be paid in September.

What is the total dollar amount related to the above information that should be included as part of cash disbursements in the September cash budget?

A. $12,200

B. $11,500

D. $10,700

C. $11,000

E. none of the above