Question - Correy Company reported the following information for 2013:
October November December
Budgeted sales $460,000 $440,000 $540,000
Budgeted purchases$240,000 $256,000 $288,000
- Cost of goods sold is 35% of sales.
- Correy purchases and pays for merchandise 60% in the month of acquisition and 40% in the following month.
- Accounts payable is used only for inventory acquisitions.
How much is the budgeted balance for Accounts Payable at October 31, 2013?
A. $204,000
B. $96,000
C. $144,000
D. $102,400