Construct a short-term financial plan for Springfield Snowboards based on its expansion opportunity described in the "Positive Cash Flow Shocks" part of Section 20.1. Base the plan on the following table B, which forecasts additional capital expenditures, marketing (SG&A), and working capital in Q1 and Q2 along with higher sales in Q2-Q4. Assume that Springfield ends 2021 with $1.05 million in cash and that its bank will offer it a short-term loan at the rate 1.75% per quarter. Assume that the minimum cash balance to be maintained is $490,000 Complete the cash budget based on the assumptions of the problem. (Round to the nearest integer.) Data Table Cash Balance and Short-Term Financing ($000) 202202 202203 2022Q4 $ 202201 1050 $ -1017 $ (Click on the following icon in order to copy its contents into a spreadsheet.) $ 525 $ 639 $ 661 $ $ $ 2021Q4 2022Q1 202202 202203 202204 $ $ $ $ $ Starting Cash Balance Change in Cash and Equivalents Minimum Cash Balance Surplus (Deficit) Relative to Minimum Increase (Decrease) in Short-Term Financing Existing Short-term Financing Total Short-term Financing Ending Cash Balance $ $ $ $ $ $ 10.915 7,095 1.122 2,698 459 2.239 784 1,455 5,000 3.250 1.050 700 600 100 35 65 6.100 3.965 500 1,635 550 1,085 380 705 6,050 3,933 550 1,567 450 1.117 391 726 6,000 3,900 550 1,567 400 1,167 408 759 $ $ $ $ $ $ (Select the best choice below.) 65 600 705 550 726 450 759 400 O A. They will need to borrow $457,000 for the first quarter of 2022, and they will pay back the loan during Q2 of 2022. OB. They will need to borrow $457,000 for the third quarter of 2022, and they will pay back the loan during Q4 of 2022 OC. They to w $457,000 for the cond quarter 2022, and they will pay back the loan during Q3 of 2022. OD. They will need to borrow $457,000 for the first quarter of 2022, and they will pay back the loan during Q4 of 2022 Quarter Income Statement ($000) Sales Cost of Goods Sold Selling, Gen., and Admin EBITDA Depreciation EBIT Taxes Net Income Statement of Cash Flow (5000) Net Income Depreciation Changes in Working Capital: Accounts Receivable Inventory Accounts Payable Cash from Operating Act. Capital Expenditures Other Investments Cash from Investing Act. Net Borrowing Dividends Capital Contributions Cash from Financing Act. Change in Cash Equiv. - 135 - 310 0 0 53 583 - 1,600 110 1,055 -530 - 1,600 0 0 0 - 530 0 0 0 0 525 0 1,176 -515 0 -515 0 0 0 0 661 0 1,159 - 520 0 - 520 0 0 0 0 639 0 - 1017 Construct a short-term financial plan for Springfield Snowboards based on its expansion opportunity described in the "Positive Cash Flow Shocks" part of Section 20.1. Base the plan on the following table B, which forecasts additional capital expenditures, marketing (SG&A), and working capital in Q1 and Q2 along with higher sales in Q2-Q4. Assume that Springfield ends 2021 with $1.05 million in cash and that its bank will offer it a short-term loan at the rate 1.75% per quarter. Assume that the minimum cash balance to be maintained is $490,000 Complete the cash budget based on the assumptions of the problem. (Round to the nearest integer.) Data Table Cash Balance and Short-Term Financing ($000) 202202 202203 2022Q4 $ 202201 1050 $ -1017 $ (Click on the following icon in order to copy its contents into a spreadsheet.) $ 525 $ 639 $ 661 $ $ $ 2021Q4 2022Q1 202202 202203 202204 $ $ $ $ $ Starting Cash Balance Change in Cash and Equivalents Minimum Cash Balance Surplus (Deficit) Relative to Minimum Increase (Decrease) in Short-Term Financing Existing Short-term Financing Total Short-term Financing Ending Cash Balance $ $ $ $ $ $ 10.915 7,095 1.122 2,698 459 2.239 784 1,455 5,000 3.250 1.050 700 600 100 35 65 6.100 3.965 500 1,635 550 1,085 380 705 6,050 3,933 550 1,567 450 1.117 391 726 6,000 3,900 550 1,567 400 1,167 408 759 $ $ $ $ $ $ (Select the best choice below.) 65 600 705 550 726 450 759 400 O A. They will need to borrow $457,000 for the first quarter of 2022, and they will pay back the loan during Q2 of 2022. OB. They will need to borrow $457,000 for the third quarter of 2022, and they will pay back the loan during Q4 of 2022 OC. They to w $457,000 for the cond quarter 2022, and they will pay back the loan during Q3 of 2022. OD. They will need to borrow $457,000 for the first quarter of 2022, and they will pay back the loan during Q4 of 2022 Quarter Income Statement ($000) Sales Cost of Goods Sold Selling, Gen., and Admin EBITDA Depreciation EBIT Taxes Net Income Statement of Cash Flow (5000) Net Income Depreciation Changes in Working Capital: Accounts Receivable Inventory Accounts Payable Cash from Operating Act. Capital Expenditures Other Investments Cash from Investing Act. Net Borrowing Dividends Capital Contributions Cash from Financing Act. Change in Cash Equiv. - 135 - 310 0 0 53 583 - 1,600 110 1,055 -530 - 1,600 0 0 0 - 530 0 0 0 0 525 0 1,176 -515 0 -515 0 0 0 0 661 0 1,159 - 520 0 - 520 0 0 0 0 639 0 - 1017