Period 1 Period 2 Period 3 Beginning Cash Balance 5,000 Cash Inflow 11,000 10,000 54,000 Total Cash Available Cash Outflow 42,000 3,000 21,000 Cash Balance New Borrowing Needed New Borrowing Repayment Principal Interest Ending Cash Balance Debt Outstanding Each period is 4 months. Use an annual interest rate of 12% for borrowing (1% per month). Keep minimum cash balance of $1,000 on hand in each period. Assume all loans are made at the beginning of the period and paid back at the end. If you have some cash left over at the end of the period, but not enough to pay entire debt plus interest, pay the interest first (entire amount if possible), then put the rest of the cash (minus the $1,000 minimum balance) towards retiring the principal