Question

cnve Hardware's f ecas ed sa es r April May: June and July are S180,000: 29 000: $120 0 0 and S220 00 respect el Salm art 80 cash:nd 40% credit w h all accounts receivables inven ary is maintainer at 启5,000 plus 09 cof the allowing month's cost a gDads sod. All rivemory purchases are asd 24% m the month D Purchase and 78% n the o awlng month. 0llec ed in he month allowing the sale as o co ds sald s B5% a sales ล 1d triin What is the balence of eccouris payable on the June 30 budgeted balance shee: eCeve Hardwere? OA. $91,200 O B. $110,500 O C. $69,768 O D. S33,580

Answer 1

Correct answer--------$83,980

Working

	April	May	June	July
Sales	$ 1,80,000.00	$ 2,90,000.00	$ 1,20,000.00	$ 2,20,000.00
Cost of Goods sold	$ 1,53,000.00	$ 2,46,500.00	$ 1,02,000.00	$ 1,87,000.00

Purchases budget
	April	May	June	July
Cost of Goods sold	$ 1,53,000.00	$ 2,46,500.00	$ 1,02,000.00	$ 1,87,000.00
Add: Desired Ending inventory (67256.81 x 22.97%)	$      89,650.00	$      75,200.00	$      83,700.00
	$ 2,42,650.00	$ 3,21,700.00	$ 1,85,700.00
Less: Beginning inventory (78706.44 x 22.97%)	$      80,300.00	$      89,650.00	$      75,200.00
Budgeted Purchase	$ 1,62,350.00	$ 2,32,050.00	$ 1,10,500.00

Unpaid amount of purchases at the end of June (110500 x 76%)

$      83,980.00