Ask Experts Questions for FREE Help !
Ask
    ekp131's Avatar
    ekp131 Posts: 2, Reputation: 1
    New Member
    		  
    #1

    Sep 19, 2007, 12:15 PM
    Forecasting a payment
    If a firm pays its bills with a 30-day delay, what fraction of its purchases will be paid for in the current quarter? In the following quarter? What if its payment delay is 60 days?



    Ok so If I am thinking of this right the fraction would be 1/3 for the 30 day and then... I think I am lost
    rere 123's Avatar
    rere 123 Posts: 2, Reputation: 1
    New Member
    		  
    #2

    Oct 5, 2007, 07:36 PM
    The company will have paid for 2/3 of its purchases at the end of the first qtr. (Jan bills will be paid in Feb. bills will be paid in march, and so on.

    In the second qtr, they will have paid 5/6 of their purchases. (Still carrying Jan over)

    If it's 60 days, then 1/3 in the 1st qtr, and 2/3 in the second
    lawrelp's Avatar
    lawrelp Posts: 3, Reputation: 1
    New Member
    		  
    #3

    Jan 1, 2008, 10:40 AM
    If a firm pays its bills with a 30-day , what fraction of its purchases will be paid for in the current quarter?

    Do I divide 30 days by how many days are in the quarter and figure out the fraction part?
Not your question? Ask your question View similar questions
 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

Forecasting payments [ 3 Answers ]

Hello, I have not clue how to derive at this answer. I am not looking for the answer just help? If a firm pays its bills with a 30-day , what fraction of its purchases will be paid for in the current quarter? Do I divide 30 days by how many days are in the quarter and figure out the...

Can a collections agency refuse payment or payment arrangement ? [ 2 Answers ]

I owe a hospital bill of $1000 from back in march and it has gone to a collections agency. Now my problem is, my insurance company actually sent me the check to make the payment. They instructed me to put it into my checking account then send a personal check to the creditor. However when I put...

Accounts receivable and forecasting [ 1 Answers ]

A firm has forecasted sales of $4000 in January, $6000 in February and $5,500 in March. All sales are on credit. 40% is collected in the month of sale and the remainder the following month. How much is collected from accounts receivable in February?

View more questions Search