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Fortune Company's direct materials budget shows the following cost of materials to be purchased for the coming three months:

Fortune Company's direct materials budget shows the following cost of materials to be purchased for the coming three months: 

                                                January            February             March 
Material purchases               $ 12,520         $ 14,630             $ 11,450 

Payments for purchases are expected to be made 50% in the month of purchase and 50% in the month following purchase. The December Accounts Payable balance is $6,800. 
Calculate the budgeted cash payments for materials in January.


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