Reference no: EM132460059

1. Suppose that the Sales in December 2019 were 41,361. The sales are expected to grow by 4% in January 2020, by 7% in February 2020, and by 10% in March 2020. After that, the sales are expected to grow by 11%.

The company's cash collection is as follows: 10% is collected in the same month, 37% is collected in the next month, and the remainder in the following month.

What is the cash collection for April, 2020?

2. Suppose that the Sales in December 2019 were 105,497. The sales are expected to grow by 3% in January 2020, by 4% in February 2020, and by 15% in March 2020. After that, the sales are expected to grow by 4%.

The purchases are 12% of sales. The purchases will be paid in the same month. The general administrative expenses are $4,007 and will be paid in the same month. The depreciation expense is $7,111 per month. The interest expenses are $13,093 per quarter and will be paid in March, June, September, and December.

What is the cash outflow for August, 2020?