Cumulative borrowings (Hint: These three tables are consistent You are able to get cask inflow from table 2 and cash outflow from table 3) Based on the above Pro-Forma Cash Flow Budget, answer the following two questions: (1) Does the business need to borrow money? If yes, how much money needs to be borrowed? (2) When does the money need to be borrowed? When will the loan be repaid? Item Sales Table 2: A.Biz Estimated Cash Inflows (Jan-Apr.) Jan Feb Mar $8,000 $9,000 Apr Cash Sales ($) Account Receivable (2 month old) $2,000 $3,000 $1,000 $1,000 $2,000 Account Receivable (3 month old) Total Cash Inflows Assumptions: 1. Sales are 2/3 cash, and 1/3 credits. 2. Account Receivable ratio is 4. Table 3: Pro-Forma Cash Flow Budget Item Initial Cash Balance Jan $1,000 Feb $1,000 Mar $1,000 Apr $1.000 Cash Inflow Total cash available Cash Outflow Net Cash Need Borrowings End Cash Balance $1,000 $1,000 $1,000 $2,000 09 words RR English (Canada) Q3. Fill in the blanks of Table 1: Monthly Cash Outflows and Table 2: Monthly Cash Inflows. Then, use the information to generate Table3: Pro-Forma Cash Flow Budget and answer the following questions. (10 points in total) Item Sales Purchases($) Table 1: AgBiz Estimated Monthly Cash Outflows (Jan. Apr.) Jan Feb Mar Apr $8,000 $9,000 $6,000 $12,000 $11,000 Payment of Account Payable $5,000 $4,000 Payment of Overhead $1,000 $1,000 $1,000 $1,000 Total Cash Outflows 1 Inventory Levels $11,000 Assumptions: 1. The inventory turnover rate is 12. 2. Inventory is equal to current month's purchases + previous month's purchases 3. Cost of goods sold=50% of sales 4. Account payable turnover ratio=6. Table 2: AgBiz Estimated Cash Inflows (Jan. - Apr.)