Use the Information Below to Answer the Following Question(s)

question 51

Multiple Choice

Use the information below to answer the following question(s) .
The following information pertains to Hepburn Company:

Cash is collected from customers in the following manner:
- Month of sale 30%
- Month following the sale 70%
40% of purchases are paid for in cash in the month of purchase, and the balance is paid the following month.
Labour costs are 20% of sales. Other operating costs are $30,000 per month (including $8,000 of depreciation) . Both of these are paid in the month incurred. The cash balance on March 1 is $8,000. A minimum cash balance of $6,000 is required at the end of the month. Money can be borrowed in multiples of $1,000.
-How much cash will be disbursed in total in March?

• A) $88,400
• B) $68,400
• C) $96,400
• D) $91,600

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Definitions:

Adaptation

The social system must be able to gather and distribute sufficient resources and adjust to changes in its environment.

Goal Attainment

The system needs to establish clear goals and priorities.

Sympathetic Introspection

A methodological approach in which the researcher tries to understand the feelings and perspectives of others by mentally placing themselves in the other's position.

The Looking Glass Self

A sociological concept that suggests an individual's self grows out of society's interpersonal interactions and the perceptions of others.