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Ksivusya [100]
3 years ago
5

Purchases in May were $58,000, while expected purchases for June and July are $72,000 and $85,000, respectively. All purchases a

re paid 40% in the month of purchase and 60% in the following month. At what amount are June payments for purchases budgeted?
A. $97,600
B. $63,600
C. $86,000
D. $66,400
Business
1 answer:
UkoKoshka [18]3 years ago
4 0

Answer:

The correct answer is B.

Explanation:

Giving the following information:

Purchases in May were $58,000, while expected purchases for June and July are $72,000 and $85,000, respectively. All purchases are paid 40% in the month of purchase and 60% in the following month.

Cash for June:

June= 72,000*0.4= 28,800

From May= 58,000*0.6= 34,800

Total= $63,600

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