Red Rose Ltd. is very excited because sales for the nursery and plant company are expected to increase from $680,000 to $1,500,000 next year. Red Rose's net assets (assets - liabilities) will remain at 50 percent of sales. The company will enjoy an 8 percent return on total sales and began the year with $100,000 in the bank. Calculate the likely cash balance for the end of the year. Discuss how will this impact Red Rose's cash position ensure you show all calculations to support your answer.