The Adams Company, a merchandising firm, has budgeted its activity for November according to the following information:   • Sales were at $450,000, all for cash. • Merchandise inventory on October 31 was $200,000. • The cash balance on November 1 was $18,000. • Selling and administrative expenses are budgeted at $60,000 for November and are paid for in cash. • Budgeted depreciation for November is $25,000. • The planned merchandise inventory on November 30 is $230,000. • The cost of goods sold is 70% of the selling price. • All purchases are paid for in cash.     17. The budgeted cash disbursements for November are   A. $375,000. B. $405,000. C. $345,000. D. $530,000.

FINANCIAL ACCOUNTING
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Author:Libby
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Chapter1: Financial Statements And Business Decisions
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The Adams Company, a merchandising firm, has budgeted its activity for November according to the following information:

 

• Sales were at $450,000, all for cash.

• Merchandise inventory on October 31 was $200,000.

• The cash balance on November 1 was $18,000.

• Selling and administrative expenses are budgeted at $60,000 for November and are paid for in cash.

• Budgeted depreciation for November is $25,000.

• The planned merchandise inventory on November 30 is $230,000.

• The cost of goods sold is 70% of the selling price.

• All purchases are paid for in cash.

 

 

17. The budgeted cash disbursements for November are

 

A. $375,000.

B. $405,000.

C. $345,000.

D. $530,000.

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