Answer Happy

The XYZ company specializes in homemade biscuits and receives all income from sales. The sales revenue estimates (in million $) for the company are as follows: Q1 = 600, Q2 = 650, Q3 = 700. Q4 = 750. Q1 of next year = 700. The average collection period for accounts receivables is 30 days. Beginnmg receivables (Q1 beginning) is $100 million. The purchases are 60% of next quarter sales. Beginning payables (Q1 beginning) is $200 million. The accounts payable period is 60 days. Wages and other expenses every quarter are 10% of the sales revenue of that quarter. A CAPEX of $60 million is planned end of Quarter 2. Dividends and interest payments are $12 million every quarter. There are no other expenses. The beginning cash balance (Q1 beginning) is $25 million. How much will be the cash balance at the end of Quarter 2? [5]