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Question
Use the following data to determine the company's cash disbursements for the month of August and September:
| July | August | September | ||
| Sales | $24,000 | $32,000 | $36,000 | |
| Purchases | 14,400 | $19,200 | $21,600 | |
| Payments for purchases | One month after purchase | |||
| Selling expenses | 15% of sales, paid in the month of sale | |||
| Administrative expenses | 10% of sales, paid in the month of sale | |||
| Rent expense | $2,400 per month | |||
| Equipment depreciation | $1,300 per month | |||
Answer
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