Mooney Equipment is putting together its cash budget for the following year and has forecasted expected cash collections over the next five quarters $($one year plus the first quarter of the next year$).$ The cash collection estimates are based on sales projections and expected collection of receivables. The sales and cash collection estimates are shown in the following table $($in millions of dollars$)$:

Q$1$

Q$2$

Q$3$

Q$4$

Q$5$

Sales $$1,650$ $$1,950$ $$2,000$ $$1,800$ $$2,050$

Total cash collections $$1,650$ $$1,700$ $$1,750$ $$1,750$

You also have the following information about Mooney Equipment:

$$ In any given period, Mooney$$s purchases from suppliers generally account for $70\%$ of the expected sales in the next period, and wages, supplies, and taxes are expected to be $15\%$ of next period$$s sales.

$$ In the third quarter, Mooney expects to expand one of its plants, which will require an additional $$1,070$ million investment.

$$ Every quarter, Mooney pays $$45$ million in interest and dividend payments to long$-$term debt and equity investors.

$$ Mooney prefers to keep a minimum target cash balance of at least $$14$ million at all times.

Using the preceding information, answer the following questions: $($Note: Round your answers to the nearest millionth dollar.$)$

$$ What is the net cash inflow that Mooney expects in the first quarter $($Q$1)?$

$$ If Mooney is beginning this year with a cash balance of $$35$ million and expects to maintain a minimum target cash balance of at least $$14$ million, what will be its likely cash balance at the end of the year $($after Q$4)?$

$$ What is the maximum investable funds that the firm expects to have in the next year?

$$ What is the largest cash deficit that the firm expects to suffer in the next year?

True or False: One of the firm$$s suppliers offers payment terms of $3/10,$ net $30,$ and the other offers net $30.$ If the firm chooses to go with the supplier that offers $3/10,$ net $30,$ and everything else remains the same, the firm$$s net cash flow is likely to increase in a monthly cash budget after a few months.

True

False