Nunnally Manufacturing Company has furnished the following information which occurred during May:
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Accounts Payable balance at April 30
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$29,000
|
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Purchases on account during May
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150,000
|
|
Cash payments for materials purchased in April
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29,000
|
|
Cash payments for materials purchased in May
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135,000
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The accounts payable account is used only for direct materials. How much will Nunnally report as accounts payable on their balance sheet at the end of May?
1. $21,000
2. $103,000
3. $8,000
4. $15,000