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Acme Co. has projected the following sales for 2022: = Q1 = $870 Q2 = $920 Q3 = $850 Q4 = $950 - - Sales
Acme Co. has projected the following sales for 2022: = Q1 = $870 Q2 = $920 Q3 = $850 Q4 = $950 - - Sales for each quarter in 2023 are projected to be 4 percent greater than the previous quarter (ie. Q1 2023 is projected to be 4% higher than Q4 2022). Calculate expected payments to suppliers in each quarter for 2022, assuming: 1) Acme places orders during each quarter equal to 40 percent of projected sales for the next quarter. For example, if Q1 2023 sales are expected to be $1325, then purchases in Q4 of 2022 would be estimated to be $1325 x 0.4 = $530 2) Acme's average days of payables is 90 days. = = = Q1 payments Q2 payments Q3 payments Q4 payments = =
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