At the end of August, there was $90,000 in inventory. The change in inventory balance for September was (10,000). The following entries were posted to the GL at the end of September:

Required:

1. Calculate the purchases made in September.

2. What is the total amount of cash disbursements made in September for purchases?

3. What amount will be reported for inventory on the September 30 balance sheet?

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Dr $420,000 Cost of sales Cr $420,000 Inventory To record the cost of sales for September Accounts payable Dr $110,000 Cash Cr $110,000 To record payments for purchases in August and prior тonths company pays for 80% of a month's purchases in the month of the purchase. The