posted by merceda on .
Dokken & Dietrich’s Donut Company pays for 25% of its inventory purchases in the
month of the purchase and the remainder in the following month. The company’s
inventory purchases totaled $840,000 in October, $920,000 in November, and $600,000
in December. The company also paid for new equipment with a total cost of $380,000 in
November and made a tax payment of $130,000 in December. Salaries and wages were
$300,000 in November and $275,000 in December.
Determine the firm’s cash disbursements for November and December.