FINANCI FOR EXECUTIVES Balance Sheets (in thousands) Year-end 1 Year-end 2 Year-end 3 Accounts receivable 2.730 4,200 Prepaid expenses Net fixed assets 1.200 1,450 Total assets S7.330 $7.950 S10,250 Short-term debt 300 500 Accounts payable 1,600 2,050 260 Long-term debt 1.300 1,100 owners' equity 4,130 4,850 Total liabilities and owners' equity $7,330 S7.950 S10,250 a. Computer Sentec working capital requirement (WCR) at year-end 1, year- and year-end 3. b. Prepare Sentec Inc.'s managerial balance sheets at year-end 1, year-end 2, and year-end 3 c. Compute Sentec Inc.'s net long-term financing (NLF) and net short-term financ. ing (NSF) at year-end 1, year-end 2, and year-end 3. Comment on the change in Sentec Inc.'s financing policy. Has it become more conservative? Aggressive? What caused this change? d. In year 3, firms in the same sector as sent Inc. had an average collection period of 30 days, average payment period of 33 days, and inventory turnover eight days. Suppose that Sentec Inc. had managed its operating cycle like the average firm in the sector. At year-end 3, what would its WCR have been? Its managerial balance sheet, NLF and NSF? What would have been the effect on its financing strategy? 10. Seasonal business. Electronics is a distributor for the Global Electric Company (GEC, a large manufacturer of electrical and electronics products for consumer and institutional markets. Below are the semi-annual financial statements of the company for the last year and a half. Total