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Weisbro and Sons Purchases Its Inventory One Quarter Prior to the Quarter

Question 77

Multiple Choice

Weisbro and Sons purchases its inventory one quarter prior to the quarter of sale. The purchase price is 60% of the sales price. The accounts payable period is 60 days. The accounts payable balance at the beginning of quarter one is $27,500. What is the amount of the expected disbursements for quarter two given the following expected quarterly sales? Assume that a year has 360 days.
Weisbro and Sons purchases its inventory one quarter prior to the quarter of sale. The purchase price is 60% of the sales price. The accounts payable period is 60 days. The accounts payable balance at the beginning of quarter one is $27,500. What is the amount of the expected disbursements for quarter two given the following expected quarterly sales? Assume that a year has 360 days. A) $19,200 B) $20,400 C) $22,000 D) $25,200 E) $32,000


A) $19,200
B) $20,400
C) $22,000
D) $25,200
E) $32,000

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