The Purchases Budget for Popular Paper Products shows the following values for planned purchases for the year ended December $31,20$X$1$:

Q$1-$ $$53,200$ Q$2-$ $$15,700$ Q$3-$ $$27,000$ Q$4$ $$23,100$

The relevant Accounts Payable balance at the beginning of Q$1$ is $$40,000.$

For budgeting purposes, Popular Paper Products expects to pay for $40\%$ of purchase cost in the quarter of purchase, and $60\%$ in the quarter following the purchase. Given this information, what is the expected cash disbursement for purchases for Q$3.$

Question $8$Answer

a$.$

$$20,220$

b$.$

$$49,420$

c$.$

$$60,220$

d$.$

$$50,800$