What are the cash flows for the company this quarter

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Ponzi Products produced 104 chain-letter kits this quarter, resulting in a total cash outlay of $12 per unit. It will sell 52 of the kits next quarter at a price of $13, and the other 52 kits in the third quarter at a price of $14. It takes a full quarter for Ponzi to collect its bills from its customers. (Ignore possible sales in earlier or later quarters.)

1. What are the cash flows for the company this quarter?

2. What is Ponzi’s net working capital in the next quarter?

Reference no: EM131868573

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