During the Month of March,Harley's Computer Services Made Purchases on Account

question 89

Multiple Choice

During the month of March,Harley's Computer Services made purchases on account totaling $43,500.Also during the month of March,Harley was paid $8,000 by a customer for services to be provided in the future and paid $36,900 of cash on its accounts payable balance.If the balance in the accounts payable account at the beginning of March was $77,300,what is the balance in accounts payable at the end of March?

• A)$83,900.
• B)$91,900.
• C)$6,600.
• D)$75,900.
• E)$4,900.

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Definitions:

Activity Variance

The difference between the budgeted costs based on expected activity levels and the actual costs incurred, usually used in flexible budgeting.

Net Operating Income

The income from a company's operations after deducting operating expenses, excluding revenue and expenses from non-operational activities.

Budgeting

The process of creating a plan to spend your money, outlining expected revenues and expenses.

Activity Variance

The difference between planned levels of activity and actual levels, often analyzed to improve budgeting and operational efficiency.