Estimate cash disbursements related to purchases

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The Granger Antique Mall expects to make purchases in the first quarter of 2018 as follows:

January $85,000

February 96,000

March 79,000

Purchases in December 2017 are expected to be $88,000. The company expects that 55 percent of a month's purchases will be paid in the month of purchase and 45 percent will be paid in the following month.

Problem 1: Estimate cash disbursements related to purchases for each month of the first quarter of 2018.

Reference no: EM132793178

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