In a given quarter, a company buys inventories from suppliers in an amount equal to 38% of
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In a given quarter, a company buys inventories from suppliers in an amount equal to 38% of the following quarter's forecasted sales. Sales of the first quarter are projected to be $49,780. The company has a payables period of 120 days. Sales of the second quarter are projected to increase at 36.00% from the first, while sales of the third quarter are projected to increase at 16.00% from the second. Assuming a quarter of 90 days, what is total cash payment made in the third quarter for inventory purchases?
| $25,623 |
| $26,335 |
| $27,047 |
| $27,759 |
| $28,470 |
Related Book For
Managerial Accounting Creating Value in a Dynamic Business Environment
ISBN: 978-0078110917
9th edition
Authors: Ronald W. Hilton
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