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Arabelle is considering expanding the floor area of her high-fashion import clothing store, The French Prints of Arabelle, by increasing her leased spa in the

image text in transcribedimage text in transcribed Arabelle is considering expanding the floor area of her high-fashion import clothing store, The French Prints of Arabelle, by increasing her leased spa in the upscale Cherry Creek Mall from 2,000 square feet to 3,000 square feet. The Cherry Creek Mall boasts one of the country's highest ratios of sal value per square foot. Rents (including utilities, security, and similar costs) are $125 per square foot per year. Salary increases related to French Prin expansion are shown in the following table, along with projections of sales per square foot. The purchase cost of goods sold averages 70 percent of t sales price. Sales are seasonal, with an important peak during the year-end holiday season. Click the icon to view the table. a. If Arabelle expands French Prints at the end of year 0 , what will her quarterly pretax cash flows be through year 2 ? The cash flows attributable to French Prints' expansion in the first quarter of year 1 are S The cash flows attributable to French Prints' expansion in the second quarter of year 1 are The cash flows attributable to French Prints' expansion in the third quarter of year 1 are The cash flows attributable to French Prints' expansion in the fourth quarter of year 1 are $ The cash flows attributable to French Prints' expansion in the first quarter of year 2 are: The cash flows attributable to French Prints' expansion in the second quarter of year 2 are $ The cash flows attributable to French Prints' expansion in the third quarter of year 2 are (Enter your response as an integer.) (Enter your response as an integer.) (Enter your response as an integer.) . (Enter your response as an integer.) (Enter your response as an integer.) (Enter your response as an integer.) . (Enter your response as an integer.) . (Enter your response as an integer.) b. Project the quarterly pretax cash flows assuming that the sales pattern (10 percent annually compounded increase) continues through year 3 . The cash flows attributable to French Prints' expansion in the first quarter of year 3 are $ (Enter your response as an integer.) The cash flows attributable to French Prints' expansion in the second quarter of year 3 are $ (Enter your response as an integer.) The cash flows attributable to French Prints' expansion in the third quarter of year 3 are $310. (Enter your response as an integer.) The cash flows attributable to French Prints' expansion in the fourth quarter of year 3 are $ (Enter your response as an integer.) Data Table

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