Calculating Payments [LO3] The Torrey Pine 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 20 percent of sales, and interest and dividends are $90 per quarter. No capital expenditures are planned. Projected quarterly sales are shown here: Q1 Q2 Q3 Q4 Sales $980 $930 $1,070 $1,250 Sales for the first quarter of the following year are projected at $1,090. 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
Calculating Payments [LO3] The Torrey Pine 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 20 percent of sales, and interest and dividends are $90 per quarter. No capital expenditures are planned. Projected quarterly sales are shown here: Q1 Q2 Q3 Q4 Sales $980 $930 $1,070 $1,250 Sales for the first quarter of the following year are projected at $1,090. 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
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![9. Calculating Payments [LO3] The Torrey Pine 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,
sales, and interest and dividends are $90 per quarter. No capital expenditures are
planned.
Projected quarterly sales are shown here:
and other expenses are 20 percent of
Q1
Q2
Q3
Q4
Sales
$980
$930
$1,070
$1,250
Sales for the first quarter of the following year are projected at $1,090. 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](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Ffc8b2792-e619-4e71-a268-3a97560e5281%2F94bd9580-f719-4010-891f-697bee34f1af%2F7o9lax9_processed.png&w=3840&q=75)
Transcribed Image Text:9. Calculating Payments [LO3] The Torrey Pine 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,
sales, and interest and dividends are $90 per quarter. No capital expenditures are
planned.
Projected quarterly sales are shown here:
and other expenses are 20 percent of
Q1
Q2
Q3
Q4
Sales
$980
$930
$1,070
$1,250
Sales for the first quarter of the following year are projected at $1,090. 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
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