Calculate payments to suppliers assuming that the company

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Reference no: EM131983947

Sedman, Corp., has projected the following sales for the coming year:

	Q1	Q2	Q3	Q4
Sales	$820	$900	$860	$960

Sales in the year following this one are projected to be 10 percent greater in each quarter.

a. Calculate payments to suppliers assuming that the company places orders during each quarter equal to 30 percent of projected sales for the next quarter. Assume that the company pays immediately.

b. Calculate payments to suppliers assuming a 90-day payables period.

c. Calculate payments to suppliers assuming a 60-day payables period.

Reference no: EM131983947

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