Grohl Products has projected the following sales for the coming
year:
Q1
Q2
Q3
Q4
Sales
$720
$790
$960
$880
Sales in the year following this one are projected to be 15
percent greater in each quarter.
Requirement 1:
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.
(a)
What is the payables period in this case?
(Do not round intermediate
calculations.)
Payables period
(b)
What are the payments to suppliers each quarter?
(Do not round intermediate
calculations.Round your answers to 2 decimal
places (e.g.,32.16)):
Q1
Q2
Q3
Q4
Payment of accounts
$
$
$
$
Requirement 2:
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 a 90-day payables period.
(Do not round intermediate
calculations.Round your answers to 2 decimal
places (e.g., 32.16).)
Q1
Q2
Q3
Q4
Payment of accounts
$
$
$
$
Requirement 3:
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 a 60-day payables period.
(Do not round intermediate
calculations.Round your answers to 2 decimal
places (e.g., 32.16).)
dr.two
