Sedman, Corp., has projected the following sales for the coming year: Sales in t
ID: 2763898 • Letter: S
Question
Sedman, Corp., has projected the following sales for the coming year:
Sales in the year following this one are projected to be 20 percent greater in each quarter.
Calculate payments to suppliers assuming that the company places orders during each quarter equal to 30 percent of projected sales for the next quarter. Assume that the company pays immediately. (Round your answers to 2 decimal places, e.g., 32.16.)
Calculate payments to suppliers assuming a 90-day payables period. (Round your answers to 2 decimal places, e.g., 32.16.)
Calculate payments to suppliers assuming a 60-day payables period. (Round your answers to 2 decimal places, e.g., 32.16.)
Sedman, Corp., has projected the following sales for the coming year:
Explanation / Answer
1 Quarter CY-Q1 CY-Q2 CYQ3 CY-Q4 FY-Q1 FY-Q2 FY-Q3 FY-Q4 2 Projecetd sales ($) 830.00 910.00 870.00 970.00 996.00 1092.00 1044.00 1164.00 3 Order for supplies($) 273.00 261.00 291.00 298.80 327.60 313.20 349.20 0.00 4 Payment of accounts ($) a Immediate payment 273.00 261.00 291.00 298.80 327.60 313.20 349.20 0.00 b 90 dyas' payable period 261.00 291.00 298.80 327.60 313.20 349.20 0.00 0.00 c 60 days' payment period 273.00 261.00 291.00 298.80 327.60 313.20 349.20 0.00 Note 1: CY = Coming year , FY = Following year Note 2: It is asssumed that orders are to be placed during the first month of each quarter