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San Diego State University Operations And Supply Chain Management Assignment Help - Interest

Question - 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 - Sales Forecast, first quarter if $540; second quarter is $530; third quarter is 510, fourth quarter is $550; Following Year- first quarter is $550 The firm pays for its goods with a 1-month delay. Therefore, on average, three- fourths of purchases are paid for in the quarter that they are purchased, and one-fourth are paid in the following quarter. Paymore's customers pay their bills with a 2-month delay. 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. As ...Read More

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