Garnett Co

Multiple Choice

Garnett Co. expects to purchase $180000 of materials in July and $210000 of materials in August. Three-fourths of all purchases are paid for in the month of purchase and the other one-fourth are paid for in the month following the month of purchase. How much will August's cash disbursements for materials purchases be?

A) $135000
B) $157500
C) $202500
D) $210000