This amount is paid in cash in the same week as the sale. All deliveries to customers occur on the day of sale. Hoy himself, performs no deliveries. The car is used to help him drive from suburb to suburb attempting to sell lotion. He carries only demonstration products in the car.
Electricity is connected.
Hoy s electricity meter reading upon connection is 100,000 kilowatts. Telephone is also connected during this week. Goochie decides that his personal car, a Telstar Turbo is surplus to his requirements. Advanced Hoy has over the counter sales of 1400 bottles. Hoy pays Noonday Grease the amount owing on the initial purchase of inventories on May 1.