The payments to supplier. Payable Period: The time period starts when the company purchase raw material from supplier and pay the cash back to the supplier this time period is the payable period. Generally large companies lengthen the payable period to get the benefit of cash.

Question

Want to see the full answer?

Answer 1

Question

Chapter 26, Problem 7QP

a.

Summary Introduction

To compute: The payments to supplier.

Payable Period:

The time period starts when the company purchase raw material from supplier and pay the cash back to the supplier this time period is the payable period. Generally large companies lengthen the payable period to get the benefit of cash.

b.

Summary Introduction

To compute: The payments to supplier if payback period is 90 days.

c.

Summary Introduction

To compute: The payments to supplier if payback period is 60 days.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

Baker Industries has a 45 day accounts receivable period. The estimated quarterly sales for this year, starting with the first quarter, are $1,200, $1,400, $1,900 and $3,200, respectively. How much does the firm expect to collect in the third quarter? Assume that a year has 360 days. A)$1,300 B)$1,650 C)$1,400

A. DEF has total forecasted gross purchases of P4,500,000 relating to a major supplier for the coming year. The supplier is offering a credit term of 3/15, n/45. How much is the simple annual effective cost of paying on the 45th day? B. ABC can take a 45-day loan with a 15% interest deducted in advance, to be reapplied each time. How much is the simple annual cost of the loan? C. ABC’s bank offered a loan with conditions of a P5,000,000 face amount, 6-month term, 4% interest deducted in advance and bank charge of P30,000. How much is the compounded annual effective cost of the bank loan?

Keedis Products has projected the following sales for the coming year: Q1 Q2 Q3 Q4 Sales $ 10,550 $ 12,850 $ 13,675 $ 15,175 The company places orders each quarter that are 30 percent of the following quarter's sales and has a 60-day payables period. What is the payment of accounts for the second quarter? Multiple Choice $4,020.00 $3,937.50 $3,855.00 $2,735.00 $3,395.00

Answer 2

Question

Chapter 26, Problem 7QP

a.

Summary Introduction

To compute: The payments to supplier.

Payable Period:

The time period starts when the company purchase raw material from supplier and pay the cash back to the supplier this time period is the payable period. Generally large companies lengthen the payable period to get the benefit of cash.

b.

Summary Introduction

To compute: The payments to supplier if payback period is 90 days.

c.

Summary Introduction

To compute: The payments to supplier if payback period is 60 days.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 3

Question

Chapter 26, Problem 7QP

a.

Summary Introduction

To compute: The payments to supplier.

Payable Period:

The time period starts when the company purchase raw material from supplier and pay the cash back to the supplier this time period is the payable period. Generally large companies lengthen the payable period to get the benefit of cash.

b.

Summary Introduction

To compute: The payments to supplier if payback period is 90 days.

c.

Summary Introduction

To compute: The payments to supplier if payback period is 60 days.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 4

Question

Chapter 26, Problem 7QP

a.

Summary Introduction

To compute: The payments to supplier.

Payable Period:

The time period starts when the company purchase raw material from supplier and pay the cash back to the supplier this time period is the payable period. Generally large companies lengthen the payable period to get the benefit of cash.

b.

Summary Introduction

To compute: The payments to supplier if payback period is 90 days.

c.

Summary Introduction

To compute: The payments to supplier if payback period is 60 days.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 5

Chapter 26, Problem 7QP

a.

Summary Introduction

To compute: The payments to supplier.

Payable Period:

The time period starts when the company purchase raw material from supplier and pay the cash back to the supplier this time period is the payable period. Generally large companies lengthen the payable period to get the benefit of cash.

b.

Summary Introduction

To compute: The payments to supplier if payback period is 90 days.

c.

Summary Introduction

To compute: The payments to supplier if payback period is 60 days.

Answer 6

Chapter 26, Problem 7QP

a.

Summary Introduction

To compute: The payments to supplier.

Payable Period:

The time period starts when the company purchase raw material from supplier and pay the cash back to the supplier this time period is the payable period. Generally large companies lengthen the payable period to get the benefit of cash.

Answer 7

Chapter 26, Problem 7QP

a.

Summary Introduction

To compute: The payments to supplier.

Payable Period:

The time period starts when the company purchase raw material from supplier and pay the cash back to the supplier this time period is the payable period. Generally large companies lengthen the payable period to get the benefit of cash.

Answer 8

b.

Summary Introduction

To compute: The payments to supplier if payback period is 90 days.

Answer 9

b.

Summary Introduction

To compute: The payments to supplier if payback period is 90 days.

Answer 10

c.

Summary Introduction

To compute: The payments to supplier if payback period is 60 days.

Answer 11

c.

Summary Introduction

To compute: The payments to supplier if payback period is 60 days.

Answer 12

Expert Solution & Answer

Answer 13

Expert Solution & Answer

Answer 14

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 15

Ch. 26 - Prob. 1CQ Ch. 26 - Prob. 2CQ Ch. 26 - Prob. 3CQ Ch. 26 - Cost of Current Assets Grohl Manufacturing, Inc.,...Ch. 26 - Prob. 5CQ Ch. 26 - Shortage Costs What are the costs of shortages?...Ch. 26 - Prob. 7CQ Ch. 26 - Prob. 8CQ Ch. 26 - Prob. 9CQ Ch. 26 - Prob. 10CQ

The payments to supplier. Payable Period: The time period starts when the company purchase raw material from supplier and pay the cash back to the supplier this time period is the payable period. Generally large companies lengthen the payable period to get the benefit of cash.

Solution Summary: The author explains the payback period, which starts when the company purchases raw material from supplier and pays the cash back to the supplier.

Concept explainers

Videos

To compute: The payments to supplier.

Payable Period:

The time period starts when the company purchase raw material from supplier and pay the cash back to the supplier this time period is the payable period. Generally large companies lengthen the payable period to get the benefit of cash.

To compute: The payments to supplier if payback period is 90 days.

To compute: The payments to supplier if payback period is 60 days.

Want to see the full answer?

Chapter 26 Solutions

The payments to supplier. Payable Period: The time period starts when the company purchase raw material from supplier and pay the cash back to the supplier this time period is the payable period. Generally large companies lengthen the payable period to get the benefit of cash.

Solution Summary: The author explains the payback period, which starts when the company purchases raw material from supplier and pays the cash back to the supplier.

Concept explainers

Videos

To compute: The payments to supplier. Payable Period: The time period starts when the company purchase raw material from supplier and pay the cash back to the supplier this time period is the payable period. Generally large companies lengthen the payable period to get the benefit of cash.

To compute: The payments to supplier if payback period is 90 days.

To compute: The payments to supplier if payback period is 60 days.

Want to see the full answer?

Chapter 26 Solutions

To compute: The payments to supplier.

Payable Period:

The time period starts when the company purchase raw material from supplier and pay the cash back to the supplier this time period is the payable period. Generally large companies lengthen the payable period to get the benefit of cash.