Inswer the following questions based on the company information given below. Company Information: Mountain Sporting Goods, Inc. - An existing sporting goods manufacturer is creating a separate division to manufacture basketballs under a private label for a major retail chain. - The retail chain has guaranteed an order of 5,000 basketballs per month during the first year and will pay $12 per basketball. - The retailer has asked for terms that allow them to pay for its purchases in 60 days. - Each basketball costs the sporting goods company $5.50 to manufacture. - The operating expenses of the new division are expected to be $5,500 per month, - The division's profits are subject to a 21% corporate tax rate (paid monthly). - The division is going to begin operations on January 1, 2024. 3. Based on the cash flow prepared, what is the minimum amount of cash needed on hand to start this new Mountain Sporting Goods, Inc. division? Explain your answer. (2pts) Answer: 4. Answer the following questions about tracking cash flow. a. a. Explain why tracking monthly cumulative cash flow gives a better estimate of how much funds are needed for this new division, than using the quarter totals. (2pts) Answer: b. Why is an accurate estimate of funds important to the owner/manager? (2pt)