Cedar Rapids Corporation Has the Following Information Purchases Are Paid for in the Following Manner: 40% in }

question 84

Multiple Choice

Cedar Rapids Corporation has the following information: $\begin{array}{lr}\text { Month } & \text { Budgeted Purchases } \\\hline \text { August } & \$ 35,000 \\\text { September } & 38,000 \\\text { October } & 43,500 \\\text { November } & 36,500 \\\text { December } & 46,000\end{array}$ Purchases are paid for in the following manner: 40% in the month of purchase 50% in the month after purchase 10% two months after purchase
Is the estimated cash disbursement in September from August purchases.

• A) $10,500
• B) $7,000
• C) $19,000
• D) $17,500

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