Use the Following Information for the Next 5 Questions

question 81

Multiple Choice

Use the following information for the next 5 questions.
Kelita, Inc., projects sales for its first three months of operation as follows: Inventory on October 1 is $40,000. Subsequent beginning inventories should be 40% of that month's cost of goods sold. Goods are priced at 140% of their cost. 50% of purchases are paid for in the month of purchase; the balance is paid in the following month. It is expected that 50% of credit sales will be collected in the month following sale, 30% in the second month following the sale, and the balance the third month. A 5% discount is given if payment is received in the month following sale.
-What are the anticipated cash disbursements for October?

• A) $120,000
• B) $180,000
• C) $140,000
• D) $60,000

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Definitions:

Biological Perspective

A psychological approach that emphasizes bodily events and changes associated with actions, feelings, and thoughts.

Psychological Approach

A method in psychology that focuses on understanding mental processes, behaviors, and disorders through the lens of brain function, emotions, and personality.

Bodily Events

Physical occurrences or phenomena within the body, often related to health, disease, or physiological processes.

Psychoanalysis

A therapeutic approach and theory of psychology developed by Sigmund Freud, focusing on unconscious processes and resolving internal conflicts.