Construct a short$-$term financial plan for Springfield Snowboards based on its expansion opportunity described in the "Positive Cash Flow Shocks" part of Section $20\mathrm{.}1.$ Assume that Springfield ends $2021$ with $$1$ million in cash and that its bank will offer it a short$-$term loan at the rate of $2\mathrm{.}5\%$ per quarter.

$2021$Q$42022$Q$12022$Q$22022$Q$32022$Q$4$

Income Statement $($$$000)$

$1$ Sales $10,9095,0006,0006,0006,000$

$2$ Cost of Goods Sold $(7,091)(3,250)(3,900)(3,900)(3,900)$

$3$ Selling, General and Administrative $(1,118)(1,034)(729)(729)(729)$

$4$ EBITDA $2,7007161,3711,3711,371$

$5$ Depreciation $(455)(500)(525)(525)(525)$

$6$ EBIT $2,245216846846846$

$7$ Taxes $(561)(54)(212)(212)(212)$

$8$ Net Income $1,684162634634634$

Statement of Cash Flows $($$$000)$

$9$ Net Income $162634634634$

$10$ Depreciation $500525525525$

$11$ Changes in Working Capital

$12$ Accounts receivable $(136)(300)--$

$13$ Inventory $----$

$14$ Account Payable $48105--$

$15$ Cash from Operating Activities $5749641,1591,159$

$16$ Capital Expenditures $(1,500)(525)(525)(525)$

$17$ Other investments $----$

$18$ Cash from Investing Activities $(1,500)(525)(525)(525)$

$19$ Net Borrowing $----$

$20$ Dividends $----$

$21$ Capital Contributions $----$

$22$ Cash from Financing Activities $----$

$23$ Change in Cash and Equivalents $(926)439634634$

Cash Balance and Short$-$Term Financing $($$$000)$

$24$ Starting Cash Balance $1,000745131,147$

$25$ Change in Cash and Equivalents $(926)439634634$

$26$ Minimum Cash Balance $500500500500$

$27$ Surplus $($Deficit$)$ Relative to Minimum $(426)136471,281$

$28$ Increase $($Decrease$)$ in Short$-$term Financing

$29$ Existing Short$-$term Financing

$30$ Total Short$-$term Financing $0000$

$31$ Ending Cash Balance $1,000745131,1471,781$

They will need to obtain short$-$term financing of $$426,000$ during Q$1,$ which will be repaid during Q$2.$