Michael Jones is one of Texas's premiere party planners. She purchases a variety of supplies, such as plastic tableware, stemware, and decorations, throughout the year. Michael has prepared the following purchases budget for the coming year:     1st Quarter   2nd Quarter   3rd Quarter   4th Quarter   Budgeted purchases   $ 280,000   $ 480,000   $ 495,000   $ 575,000   Historically, Michael has paid for 40% of her purchases in the quarter of purchase and 60% in the quarter following purchase. On December 31 of this year Michael had a $ 250,000 accounts payable balance. Prepare Michael's cash payments budget for the coming year. (Enter answers in necessary fields only. Leave other fields blank. Do not enter 0.)       1st Quarter   2nd Quarter   3rd Quarter   4th Quarter   Annual   A/P from last year   $ 250,000   $ enter a dollar amount   0   0   $ enter a dollar amount                           1st quarter purchases   enter a dollar amount   enter a dollar amount   enter a dollar amount   enter a dollar amount   enter a dollar amount   2nd quarter purchases   enter a dollar amount   enter a dollar amount   enter a dollar amount   enter a dollar amount   enter a dollar amount   3rd quarter purchases   enter a dollar amount   enter a dollar amount   enter a dollar amount   enter a dollar amount   enter a dollar amount   4th quarter purchases   enter a dollar amount   enter a dollar amount   enter a dollar amount   enter a dollar amount   enter a dollar amount   Total   $ enter a total amount   $ enter a total amount   $ enter a total amount   $ enter a total amount   $ enter a total amount Calculate the accounts payable balance at the end of 4th Quarter. Accounts Payable balance at the end of 4th Quarter   $ enter the accounts payable balance at the end of 4th quarter in dollars

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question

Michael Jones is one of Texas's premiere party planners. She purchases a variety of supplies, such as plastic tableware, stemware, and decorations, throughout the year. Michael has prepared the following purchases budget for the coming year:

   
1st Quarter
 
2nd Quarter
 
3rd Quarter
 
4th Quarter
 
Budgeted purchases
  $ 280,000   $ 480,000   $ 495,000   $ 575,000  


Historically, Michael has paid for 40% of her purchases in the quarter of purchase and 60% in the quarter following purchase. On December 31 of this year Michael had a $ 250,000 accounts payable balance.

Prepare Michael's cash payments budget for the coming year. (Enter answers in necessary fields only. Leave other fields blank. Do not enter 0.)

     
1st Quarter
 
2nd Quarter
 
3rd Quarter
 
4th Quarter
 
Annual
 
A/P from last year
  $ 250,000   $ enter a dollar amount   0   0   $ enter a dollar amount
                       
 
1st quarter purchases
  enter a dollar amount   enter a dollar amount   enter a dollar amount   enter a dollar amount   enter a dollar amount
 
2nd quarter purchases
  enter a dollar amount   enter a dollar amount   enter a dollar amount   enter a dollar amount   enter a dollar amount
 
3rd quarter purchases
  enter a dollar amount   enter a dollar amount   enter a dollar amount   enter a dollar amount   enter a dollar amount
 
4th quarter purchases
  enter a dollar amount   enter a dollar amount   enter a dollar amount   enter a dollar amount   enter a dollar amount
 
Total
  $ enter a total amount   $ enter a total amount   $ enter a total amount   $ enter a total amount   $ enter a total amount


Calculate the accounts payable balance at the end of 4th Quarter.

Accounts Payable balance at the end of 4th Quarter   $ enter the accounts payable balance at the end of 4th quarter in dollars
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 2 steps

Blurred answer
Similar questions
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education