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Budgeted purchases January $ 170,000 February $ 126,000 March $ 135,000 Req 1 Req 2 Req 3A Req 3B For the months of February
Budgeted purchases January $ 170,000 February $ 126,000 March $ 135,000 Req 1 Req 2 Req 3A Req 3B For the months of February and March, what are the budgeted cash payments for purchases of direct materials under the assumption that there is no (cash) discount for early payment? Budgeted cash payment February March Req 1 Req 2 Req 3A Req 3B For the months of February and March, what are the budgeted cash payments for purchases of direct materials under the assumption that the purchase terms are 2/15, net 30? The company's policy is to take advantage of all cash discounts for early payment. Budgeted cash payment February March Req 1 Req 2 Req 3A Req 3B Using the purchase terms in Requirement 2, calculate the opportunity cost if Bond does not decide to take advantage of the early payment discount. (Enter your answer as a percent rounded to 2 decimal places (i.e. .1234 = 12.34%)) Opportunity cost %
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