Paymore Products places orders for goods equal to 80% of its sales forecast in the next quarter. The sales forecasts for the next five quarters are as follows:
|
Quarter in Coming Year |
|
Following Year |
|
First |
Second |
Third |
Fourth |
|
First Quarter |
| Sales forecast |
$480 |
$470 |
$440 |
$490 |
|
$490 |
|
|
Now suppose that Paymore's customers pay their bills with a 2-month delay. What is the forecast for Paymore's cash receipts in each quarter of the coming year? Therefore, on average, two-fourths of sales are collected in the quarter that they are sold, and two-fourths are collected in the following quarter. Assume that sales in the last quarter of the previous year were $440. (Do not round intermediate calculations. Round your answer to the nearest dollar amount.)
|
| Quarter |
Collections |
| 1 |
$ |
| 2 |
|
| 3 |
|
| 4 |
|
|