If the budgeted cost of raw materials purchases in April is $207,650 and in May is $282,625, then in May the total budgeted cash disbursements for raw materials purchases is closest to:

A) $124,590
B) $237,640
C) $169,575
D) $113,050

To determine the total budgeted cash disbursements for raw materials purchases, we need to consider how much of the purchases were paid for in the same month versus how much was paid for in previous months.

Let's assume that 80% of the raw materials purchases are paid for in the same month and 20% are paid for in the following month. This is just an estimate and may not be accurate for all businesses, but it will help us make a calculation.

For April, the budgeted cash disbursements would be 80% of $207,650, which is $166,120. This means that the remaining 20%, or $41,530, would be paid for in May.

For May, the budgeted cash disbursements would be 80% of $282,625, which is $226,100. This means that the remaining 20%, or $56,525, would be paid for in June.

To find the total budgeted cash disbursements for May, we need to add up the amount paid in May ($226,100) and the amount paid in June ($56,525). This gives us a total of $282,625, which matches the budgeted cost of raw materials purchases for May.

Therefore, the closest answer choice is B) $237,640.

The estimated cash disbursements for materials purchases in May is computed as follows: