Samson Company prepared the following purchases budget:

Month	Budgeted Purchases
June	$35,600
July	$42,500
August	$39,600
September	$45,800
October	$49,400

All purchases are paid for as follows: 20% in the month of purchase, 60% in the following month, and 20% two months after purchase.

What are total cash disbursements for the Samson Company in August for the purchase of merchandise?

Select one:

a. $40,540

b. $45,280

c. $33,420

d. $7,920

Please explain the answer