Question

Queston Hep S22-16 (book/static) Jefersan Company has badgeed gurchases of merchandse inventory of $457,500 in Janary and $533 250 in February Assume Jefferson pays for inventory puchases 70 % in the month of the purchase and 30% in the month ahe prchase The Accounts Payable balarce on Deconber 31 s 590 2/5 Propare a schedule of cash payments for purchanes for January and February (f a bex is rot uned in the lable leave he box emply, do not enter a zero) Cash Payments January Febesary

Answer 1

Answer: Cash payment schedule is as follow

	January	February
Total merchandise inventory purchases	$        457,540	$        533,250
	January	February
Cash Payments
Merchandise inventory:
Dec.-Dec. 31 Accounts payable paid in Jan	$          98,275	$                   -
Jan.-Jan. merchandise inventory purchases paid in Jan.	$        320,278	$                   -
Jan.-Jan. merchandise inventory purchases paid in Feb.	$                   -	$        137,262
Feb.- Feb. merchandise inventory purchases paid in Feb.	$                   -	$        373,275
Total payments for merchandise inventory	$        418,553	$        510,537