The following table includes quarterly working capital levels for your firm for the next year.

$($Click on the following icon in order to copy the contents into a$$ spreadsheet.$)$

Quarters

$($$$000)$

$1$

$2$

$3$

$4$

Cash

$107$

$107$

$107$

$107$

Accounts Receivable

$192$

$109$

$105$

$606$

Inventory

$198$

$494$

$891$

$55$

Accounts Payable

$101$

$102$

$107$

$109$

If you choose to enter the year with $$402,000$ total in cash and maintain a minimum cash balance of $$107,000,$ what is your maximum$$ short$-$term borrowing?

Question content area bottom

Part $1$

Calculate the temporary working capital for each quarter$$ below:$($Round to the nearest$$ integer.$)$

$($$$000)$

Q$1$

Cash

$

Accounts receivable

$

Inventory

$

Accounts payable

$

NWC

$

$-$ Permanent WC needs

$

Temporary WC needs

$

Q$2$

$

$

$

$

$

$

$

Q$3$

$

$

$

$

$

$

$

Q$4$

$

$

$

$

$

$

$

Part $2$

$$Below$,$ determine the maximum amount of$$ short$-$term borrowing needed if the firm enters the year with $$402,000$ in cash.$($Round to the nearest$$ integer.$)$

$($$$000)$

Q$1$

Cash at beginning of quarter

$

Minimum cash balance

$

Temporary working capital needs

$

Change in NWC

$

Financing

Starting available excess cash

$

$-$ Increase $($decrease$)$ in NWC

$

$+$ Increase $($decrease$)$ ST Debt

$

$=$ Ending excess cash

$

Ending total cash balance

$

Total$-$short term borrowing

$

Q$2$

$

$

$

$

$

$

$

$

$

$

Q$3$

$

$

$

$

$

$

$

$

$

$

Q$4$

$

$

$

$

$

$

$

$

$

$

Part $3$

$($Select from the$$ drop$-$down menu.$)$

The maximum$$ short$-$term borrowing occurs in

$$

Q$1$

Q$2$

Q$3$

Q$4$

and is $$$enter your response here. $($Round to the nearest$$ dollar.$)$