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Ospika Products has projected the following sales for the coming year: Q1 Q2 Q3 Q4 Sales $ 960 $ 1,040 $ 1,000 $ 1,100 Sales
Ospika Products has projected the following sales for the coming year: |
Q1 | Q2 | Q3 | Q4 | |||||||||
Sales | $ | 960 | $ | 1,040 | $ | 1,000 | $ | 1,100 | ||||
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Sales in the year following this one are projected to be 10 percent greater in each quarter. |
a. Calculate payments to suppliers assuming that Ospika places orders during each quarter equal to 30 percent of projected sales for the next quarter. Assume that Ospika pays immediately.
b. Calculate payment to suppliers assuming a 90-day payables period.
|
c. Calculate payment to suppliers assuming a 60-day payables period. |
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