If ABC plans to pay 30% of the month’s purchases during the month of purchase, 50% in the next month, and the balance two months from the month of purchase, how much would the total payments to suppliers be for the month of April?

If ABC plans to pay 30% of the month’s purchases during the month of purchase, 50% in the next month, and the balance two months from the month of purchase, how much would the total payments to suppliers be for the month of April?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

The forecasted purchases of ABC Corporation are as follows:
P 500,000
600,000
April P 725,000
January
February
May
825,000
March
650,000
June
900,000

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