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Dorothy Taylor, Vaughn & Thomas Fabricators accounts payable manager, has just received the companys direct materials purchases budget for the first quarter.

		January		February		March		Quarter
Budgeted purchase cost		$252,000		$272,000		$288,000		$812,000

The company makes all of its direct materials purchases on account. Dorothys recent review of the companys payment history revealed that the company pays for 25% of its direct materials purchases in the month of purchase and 75% in the month following purchase. The company expects to have an accounts payable balance of $18,000 on January 1, and this amount represents the remaining payables from Decembers direct materials purchases. Prepare Vaughn & Thomass cash payments budget for the first Quarter. (Enter answers in necessary fields only. Leave other fields blank. Do not enter 0.)

	Cash Payments Budget
			January	February	March	Total Cash Payments
	December A/P		$enter a dollar amount	$enter a dollar amount	$enter a dollar amount	$enter a dollar amount
	January purchases		enter a dollar amount	enter a dollar amount	enter a dollar amount	enter a dollar amount
	February purchases		enter a dollar amount	enter a dollar amount	enter a dollar amount	enter a dollar amount
	March purchases		enter a dollar amount	enter a dollar amount	enter a dollar amount	enter a dollar amount
	Total		$enter a total amount	$enter a total amount	$enter a total amount	$enter a total amount

Calculate the accounts payable balance at the end of first Quarter.

Accounts Payable balance

$enter accounts payable balance in dollars

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