QUESTION $10$

William is a trading company that holds no inventories; it pays for some of its supplies in the month of purchase and the rest in the month after. Each month the following relationships hold:

Gross profit

$40\%$ of sales

Closing trade payables

$10\%$ of the cost of sales

Sales are budgeted to be $68,000$ in April and $58,000$ in May.

How much cash is budgeted to be paid in May to suppliers?

A$.30,600$

B$.25,000$

C$.35,400$

D$.32,700$