Question: Hector Company reports the following: Payments for purchases are made in the month after purchase. Selling expenses are 10% of sales, administrative expenses are 8%

Hector Company reports the following:

July August September Sales.$50,000 $72,000 $66,000 Purchases 14.400 9,200 21,600


Payments for purchases are made in the month after purchase. Selling expenses are 10% of sales, administrative expenses are 8% of sales, and both are paid in the month of sale. Rent expense of $ 7,400 is paid monthly. Depreciation expense is $ 2,300 per month. Prepare a schedule of budgeted cash disbursements for August and September.

July August September Sales.$50,000 $72,000 $66,000 Purchases 14.400 9,200 21,600

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