Use the follwing Financial statements for problems 1-5
JW, Inc: Income Statement			2016		2015
Sales			$5,700.00		$5,050.00
CGS			$(4,760.00)		$(4,040.00)
Gross Profit			$1,140.00		$1,010.00
Operating Expenses			$(500.00)		$420.00
Depreciation			$(27.00)		$26.00
EBIT			$613.00		$394.00
Interest Expense			$35.00		$30.00
EBT			$578.00		$364.00
Taxes			$(231.20)		$145.60
NI			$346.80		$218.40
Dividends			$-		$-
RE			$346.80		$218.40
JW, Inc Balance Sheet			2016		2015
Cash & Equivalents			$714.80		$120.00
Accounts Receivable			$500.00		$500.00
Inventory			$300.00		$340.00
Total Current Assets			$1,514.80		$960.00
Fixed Asets			$660.00		$800.00
Accumulated Depreciation			$(227.00)		$(200.00)
Net Fixed Assets			$433.00		$600.00
Total Assets			$1,947.80		$1,560.00
Accounts Payable			$320.00		$300.00
Short-Term Notes Payable			$40.00		$50.00
Accurals			$11.00		$10.00
Total Current Liabilities			$371.00		$360.00
Long-Term Debt			$780.00		$750.00
Total Liabilities			$1,151.00		$1,110.00
Common Stock			$120.00		$120.00
Retained Earnings			$676.80		$330.00
Total Shareholders Equity			$796.80		$450.00
Liabilities and Shareholders Equilty			$1,947.80		$1,560.00
Suppose that the JW's treasurer has targeted a DCH of 250 days for the next fiscal year.
a. Assuming that CGS are expected to remain unchanged from 2016, then what change (increase or decrease) in cash would be warranted?
b. Assuming that cash holdings will remain unchanged from 2016, then what change (increase or decrease) in CGS would be warranted?