Marvel Company provided the following information relating
Marvel Company provided the following information relating to cash payments.
a. Â Â Â Marvel purchased direct materials on account in the following amounts.
June 20,000
July 25,000
August 30,000
Marvel pays 25 percent of accounts payable in the month of purchase, and the remaining 75 percent in the following month.
b. Â Â Â In July, direct labor cost $40,000. August direct labor cost was $50,000. The com- pany finds that typically 90 percent of direct labor cost is paid in cash during the month, with the remainder paid in the following month.
c. Â Â Â August overhead amounted to $70,000, including $5,500 of depreciation.
d. Â Â Â Marvel took out a loan of $10,000 on May 1. Interest, due with payment of prin- cipal, accrued at the rate of 12 percent per year. The loan and all interest was repaid on August 31.
Required
Prepare a schedule of cash payments for Marvel Company for the month of August
Answers
Status NEW
Posted 26 Apr 2017 04:04 PM
My Price 3.00
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file 1493225116-Answer.docx preview (192 words )
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