Reference no: EM131733197

Question: Calculating Payments. The Sepulcro Corporation's purchases from suppliers in a quarter are equal to 75 percent of the next quarter's forecast sales. The payables period is 60 days. Wages, taxes, and other expenses are 30 percent of sales, and interest and dividends are $120 per quarter. No capital expenditures are planned. Projected quarterly sales are

                         Q1                Q2               Q3               Q4

Sales                $1,825          $2,130          $2,460           $2,615

Sales for the first quarter of the following year are projected at $2,230. Calculate the company's cash outlays by completing the following:

                                                Q1             Q2            Q3              Q4

Payment of accounts

Wages, taxes, other expenses

Long-term financing expenses
(interest and dividends)

Total