Show All Your Works For Your Answer: Calculate: Cash payments for manufacturing overhead" More Info Surity Corporation Cash Payments Budget Cash payments for direct materials: 45% of last month's purchases 31,500 55% of next month's purchases 46,200 Cash payments for direct labor 35,000 Cash payments for manufacturing overhead a. Surity Corporation pays for 55% of its direct materials purchases in the month of purchase and the remainder the following month. Last month's direct material purchases were $70,000, while the company anticipates $84,000 of direct material purchases next month. b. Direct labor for the upcoming month is budgeted to be $35,000 and will be paid at the end of the upcoming month. c. Manufacturing overhead is estimated to be 160% of direct labor cost each month and is paid in the month in which it is incurred. This monthly estimate includes $10,000 of depreciation on the plant and equipment d. Monthly operating expenses for next month are expected to be $44,000, which includes $2,700 of depreciation on office equipment and $1,300 of bad debt expense. These monthly operating expenses are paid during the month in which they are incurred. e. Surity Corporation will be making an estimated tax payment of $7,500 next month. Cash payments for operating expenses 40,000 7,500 Cash payment for taxes Total cash payments