Torres Company budgets merchandise purchases of $14,800 in January, $17600 in February, and $21,200 in March. For those purpose 50% of purchases are paid in the month of purchase and 50% are paid in the month after the purchase. The company purchased $28,000 of merchandise in December Prepare a schedule of cash payments for merchandise for the months of January, February, and March. TORRES CO. Cash Payments for Merchandise Purchases February January March Merchandise purchases Cash payments for Current period purchases Prior period purchases S 14,800 $ 17,600 S 21,200, Total cash payments for purchases

Torres Company budgets merchandise purchases of $14,800 in January, $17600 in February, and $21,200 in March. For those purpose 50% of purchases are paid in the month of purchase and 50% are paid in the month after the purchase. The company purchased $28,000 of merchandise in December Prepare a schedule of cash payments for merchandise for the months of January, February, and March. TORRES CO. Cash Payments for Merchandise Purchases February January March Merchandise purchases Cash payments for Current period purchases Prior period purchases S 14,800 $ 17,600 S 21,200, Total cash payments for purchases

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter7: Budgeting

Section: Chapter Questions

Problem 12EB: Drainee purchases direct materials each month. Its payment history shows that 65% is paid in the...

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