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Problem - Answer the following questions using the information below - Plus Company has the following information:
Month Budgeted Purchases
January P26,800
February 29,000
March 30,520
April 29,480
May 27,680
Purchases are paid for in the following manner:
10% of the purchase amount in the month of purchase
50% of the purchase amount in the month after purchase
40% of the purchase amount in the month after purchase
Required -
1) What is the expected balance in Accounts Payable as of March 31?
A) P39,068
B) P18,312
C) P2,900
D) P30,520
2) What is the expected balance in Accounts Payable as of April 30?
A) P26,532
B) P38,740
C) P12,208
D) P17,688
3) What is the expected Accounts Payable balance as of May 31?
A) P11,792
B) P24,912
C) P36,704
D) P2,948
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