Question: Exercise 1 3 - 3 6 ( Algo ) Estimate Purchases and Cash Disbursements ( LO 1 3 - 3 , 4 ) Eliot Spriniber

Exercise 13-36(Algo) Estimate Purchases and Cash Disbursements (LO 13-3,4)
Eliot Spriniber Systems produces equipment for lawn imigstion. One of the parts used in selected Cliot equipenent is is specialty norrie The budgeting team is now determining the purchase requiements and monthly cash dinbursements for this part.
Eliot whish to hrve in shock enough nocales to use for the coming month. On Auguilt the compeny has lat. 600 norries in stack. athough the latest estimate for Aupust production indicates a requirement for only 18.600 norries. Total uses of the notrie art expected to be 18.300 in Segtember and 19040 in October.
Nouzles are purchased at a wholesale price of $26. Eliot pans 25 percent of the purchase price in canh in the month when the puts are delivered. The remaining 75 percent is poid in the following month. Eliot purchased 39,000 parts in dily.
Bequired:
a. Entimate purchases of the noralie [in unitsj for August asd Seppember
b. Estimate the cash diabursements for nozrles in August and September.
Cemplete this equestion by entering your answers in the taba below.
tstimate the cash disbursements for notrien in Aupust and September.
\table[[Wonth of permant,Tiva],[Aepan,1,H54.400],[Aeplemier,4,681590]]
Exercise 1 3 - 3 6 ( Algo ) Estimate Purchases

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