Bavarian Brew's schedule of projected cash disbursement
The company's purchases are 75% of its sales. Of those purchases 15% are paid in cash, 50% are paid in the following month and the remainder in the month after that. The company's wages and salaries equal 15% of sales each month plus $50. Taxes of $125 are due in April. The company is going to purchase new machinery worth $1000 in March and pay 50% right away and the rest in April. In addition, the company will pay a $175 dividend in February.
-What are Bavarian Brew's cash disbursements in April?

Question

Bavarian Brew's schedule of projected cash disbursement
  The company's purchases are 75% of its sales. Of those purchases 15% are paid in cash, 50% are paid in the following month and the remainder in the month after that. The company's wages and salaries equal 15% of sales each month plus $50. Taxes of $125 are due in April. The company is going to purchase new machinery worth $1000 in March and pay 50% right away and the rest in April. In addition, the company will pay a $175 dividend in February.
-What are Bavarian Brew's cash disbursements in April?

Quizplus · Accepted Answer

600(.75)(.15) + 450(.75)(.5) + 870(.75)(.35) + 50 + 600(.15) + 125 + 1000(.5) = 1229.63

Bavarian Brew's Schedule of Projected Cash Disbursement