You are the co-founder of ABC T-Shirts Limited, a T-shirt clothing company that has been trading for the past three years with limited success. You have now made the decision to seek external investment into the company to expand into sports equipment market. As part of the due diligence process, potential investors have asked you to prepare a cash flow statement for the first quarter 2017. Your records show ABC T-Shirts Limited will have the following balances on the 1st January 2017: Bank overdraft 100,000 Debtors 150,000 Creditors 50,000 In addition, you anticipate the following transactions during the next three months i. New bank loan of 100,000 to cover present overdraft on the 1" January 2017 to be repaid 25,000 every quarter starting 31" March 2017. ii. Sales and purchases on one month's credit as follows: Sales Purchases Purce January 300,000 100,000 February 360,000 120,000 March 480,000 160,000 iii. Payroll costs of 50,000 in January and February, rising to 60,000 for March iv. Internal R&D costs as follows: January 100,000 February 120.000 March 150.000 V. Advertising & Promotion costs of 5,000 per month, with an additional charge of 10,000 in March to cover the launch of the summer collection. vi. Debtors and creditors must cleared within the month. vii. An external marketing consultant will be hired in February for 20,000, paid equally in two instalments in March and May 2017 respectively. Required: a) Prepare a cash budget for the three month period ending 31" March 2017. b) What level of investment would be required in order to have a closing balance of the 31 March 2016 of 500,000? c) Does ABC T-Shirts Limited need the 100,000 loan to cover the bank overdraft? Why? d) For a company making T-Shirts, what form of IP protection would be the most relevant, and why? e) What are the advantages or preparing a cash flow statement