Star Moving Systems, Inc has provided the following details for direct materials purchased on account in different months
Jan $35,000
Feb 28,000
March 34,000
April 39,000
May 32,000
June 29,000
The terms of payment offered by the suppliers are to pay 70% in the month of purchase and 30% in the following month. Calculate the payments on account made during the first six months.
What will be an ideal response
Jan Feb March April May June
Purchases on account: $35,000 $28,000 $34,000 $39,000 $32,000 $29,000
Cash payments to suppliers:
In the month of purchase (70%) 24,500 19,600 23,800 27,300 22,400 20,300
In the next month: (30%) 10,500 8,400 10,200 11,700 9,600
Total payments to suppliers $24,500 $30,100 $32,200 $37,500 $34,100 $29,900
You might also like to view...
A compensation survey is the systematic process of collecting and making judgments about the compensation paid by other employers.
Answer the following statement true (T) or false (F)
Some stress helps improve performance by challenging and motivating people.
Answer the following statement true (T) or false (F)
Which of the following statements is not true of the loss orientation approach to negative emotions?
A. Loss orientation involves working through, and processing, some aspect of the loss experience. B. Loss orientation breaks emotional bonds to the object lost. C. Loss orientation focuses on the loss event to create an account of the failure. D. Loss orientation is based on both avoidance and proactiveness.
The planning component of the FP&A system is called the sales budget.
Answer the following statement true (T) or false (F)