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Ponzi Products produced 100 chain-letter kits this quarter, resulting in a total cash outlay of $10 per unit. It will sell 50 of the kits
Ponzi Products produced 100 chain-letter kits this quarter, resulting in a total cash outlay of $10 per unit. It will sell 50 of the kits next quarter at a price of $11, and the other 50 kits in the third quarter at a price of $12. It takes a full quarter for Ponzi to collect its bills from its customers. (Ignore possible sales in earlier or later quarters.) (Negative amount should be indicated by a minus sign.) a. What is the net income for Ponzi next quarter? Net income in second quarter b. What are the cash flows for the company this quarter? Cash flow in first quarter c. What are the cash flows for the company in the third quarter? Cash flow in third quarter b. What are the cash flows for the company this quarter? Cash flow in first quarter bok c. What are the cash flows for the company in the third quarter? Cash flow in third quarter d. What is Ponzi's net working capital in the next quarter? Net working capital in next quarter
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