**Riverbed Inc. Budget Information**Riverbed Inc. provided the following information regarding their projected merchandise purchases and expenses for the months of April, May, and June:| | April | May | June ||---------|----------|---------|--------|| Projected merchandise purchases | $92,500 | $82,000 | $69,000 |**Details:**- **Merchandise Payment Schedule:** - 40% of merchandise purchases are paid in the month of the purchase. - 60% are paid in the following month.- **General Operating Expenses:** - Budgeted to be $34,500 per month. - Depreciation accounts for $3,400 of this amount. - Expenses are paid in the month they are incurred.- **Loan Payments:** - Riverbed makes monthly loan payments of $5,000. - Of this, $550 is for interest and the remainder is for principal.**Task:**Calculate the budgeted cash disbursements for May.**Calculate the total budgeted cash disbursements for May:** Total budgeted cash disbursements: $ [Enter answer]

Depreciation is an non cash expense and not form part ( it is excluded from cost )Only payment which…

Riverbed Inc. provided the following information: April May Projected merchandise purchases $92,500 $82,000 Calculate budgeted cash disbursements for May. June Riverbed pays for 40% of merchandise purchases in the month of the purchase and 60% in the following month. General operating expenses are budgeted to be $34,500 per month of which depreciation is $3,400 of this amount. Riverbed pays operating expenses in the month incurred. Riverbed makes loan payments of $5,000 per month of which $550 is interest and the remainder is principal. Total budgeted cash disbursements $ $69,000

Riverbed Inc. provided the following information: April May Projected merchandise purchases $92,500 $82,000 Calculate budgeted cash disbursements for May. June Riverbed pays for 40% of merchandise purchases in the month of the purchase and 60% in the following month. General operating expenses are budgeted to be $34,500 per month of which depreciation is $3,400 of this amount. Riverbed pays operating expenses in the month incurred. Riverbed makes loan payments of $5,000 per month of which $550 is interest and the remainder is principal. Total budgeted cash disbursements $ $69,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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