Lark Corp'S Direct Materials Budget Shows Total Cost of Direct Materials

question 102

Multiple Choice

Lark Corp.'s direct materials budget shows total cost of direct materials purchases for January $250000 February $300000 and March $350000. Cash payments are 60% in the month of purchase and 40% in the following month. The budgeted cash payments for March are

• A) $330000.
• B) $320000.
• C) $300000.
• D) $260000.

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