Problem 24 Intro You expect the following sales for the next four quarters (in $ million): Quarter Sales Q1 31 Q2 32.55 Q3 34.18 Q4 35.89 Your beginning accounts receivable balance is $15.5 million and your average collection period (days sales outstanding) is 50 days. You expect to always spend 50% of the following quarter's sales on purchases of components from suppliers. The initial accounts payable balance is $12.4 million and your average payables deferral period is 70 days. Wages and taxes make up 25% of each quarter's sales. You have to pay $4 million in interest and dividends each quarter, and plan to spend $5 million on new machinery in Q2. You start the year with $3 million in cash. Assume that each quarter has 90 days and that sales occur evenly throughout each quarter. Part 1 What are your expected cash collections in Q1 (in $ million)? Attempt 1/10 for 10 pts.