Wildcat, Incorporated, has estimated sales $($in millions$)$ for the next four quarters as follows:

$$

$$ Q$1$ Q$2$ Q$3$ Q$4$ Sales $ $180$ $ $200$ $ $220$ $ $250$

$$

Sales for the first quarter of the year after this one are projected at $$195$ million. Accounts receivable at the beginning of the year were $$77$ million. Wildcat has a $45-$day collection period.

$$

Wildcat$$s purchases from suppliers in a quarter are equal to $50$ percent of the next quarter$$s forecast sales, and suppliers are normally paid in $36$ days. Wages, taxes, and other expenses run about $25$ percent of sales. Interest and dividends are $$10$ million per quarter.

$$

Wildcat plans a major capital outlay in the second quarter of $$85$ million. Finally, the company started the year with a cash balance of $$81$ million and wishes to maintain a minimum balance of $$40$ million.

$$

a$-1.$ a$-2.$ b$-1.$

Complete the following short$-$term financial plan assuming that Wildcat maintains a minimum cash balance of $$20$ million. $\backslash$begin$\{$tabular$\}\{|$c$|$c$|$c$|$c$|$c$|$c$|$c$|$c$|$c$|\}$

$\backslash$hline $\backslash$multicolumn$\{9\}\{|$c$|\}\{$WILDCAT$,$ INCORPORATED$\}\backslash \backslash$

$\backslash$hline $\backslash$multicolumn$\{9\}\{|$c$|\}\{$Short$-$Term Financial Plan$\}\backslash \backslash$

$\backslash$hline $\backslash$multicolumn$\{9\}\{|$c$|\}\{($in millions$)\}\backslash \backslash$

$\backslash$hline & $\backslash$multicolumn$\{2\}\{|$c$|\}\{$Q$1\}$ & $\backslash$multicolumn$\{2\}\{|$c$|\}\{$Q$2\}$ & $\backslash$multicolumn$\{2\}\{|$c$|\}\{$Q$3\}$ & $\backslash$multicolumn$\{2\}\{|$c$|\}\{$Q$4\}\backslash \backslash$

$\backslash$hline Target cash balance & $\backslash$$ & $40\mathrm{.}00$ & $\backslash$$ & $40\mathrm{.}00$ & $\backslash$$ & $40\mathrm{.}00$ & $\backslash$$ & $40\mathrm{.}00\backslash \backslash$

$\backslash$hline $\backslash$multicolumn$\{9\}\{|$l$|\}\{$Net cash inflow$\}\backslash \backslash$

$\backslash$hline New short$-$term investments & & & & $0$ & & & & $\backslash \backslash$

$\backslash$hline Income from short$-$term investments & & & & $1\mathrm{.}17$ & & $0$ & & $\backslash \backslash$

$\backslash$hline Short$-$term investments sold & & $0$ & & $58\mathrm{.}34$ & & $0$ & & $0\backslash \backslash$

$\backslash$hline New short$-$term borrowing & & $0$ & & & & $0$ & & $0\backslash \backslash$

$\backslash$hline Interest on short$-$term borrowing & & $0$ & & $0$ & & & & $0\backslash \backslash$

$\backslash$hline Short$-$term borrowing repaid & & $0$ & & $0$ & & & & $0\backslash \backslash$

$\backslash$hline Ending cash balance & $\backslash$$ & $40\mathrm{.}00$ & $\backslash$$ & $40\mathrm{.}00$ & $\backslash$$ & $40\mathrm{.}00$ & $\backslash$$ & $40\mathrm{.}00\backslash \backslash$

$\backslash$hline Minimum cash balance & & $\backslash (-40\mathrm{.}00\backslash )$ & & $\backslash (-40\mathrm{.}00\backslash )$ & & $\backslash (-40\mathrm{.}00\backslash )$ & & $\backslash (-40\mathrm{.}00\backslash )\backslash \backslash$

$\backslash$hline Cumulative surplus $($deficit$)$ & $\backslash$$ & $0$ & $\backslash$$ & $0$ & $\backslash$$ & $0$ & $\backslash$$ & $0\backslash \backslash$

$\backslash$hline $\backslash$multicolumn$\{9\}\{|$l$|\}\{$Beginning short$-$term investments$\}\backslash \backslash$

$\backslash$hline Ending short$-$term investments & $\backslash$$ & $58\mathrm{.}34$ & $\backslash$$ & $0$ & & & & $\backslash \backslash$

$\backslash$hline Beginning short$-$term debt & $\backslash$$ & $0$ & $\backslash$$ & $0$ & & & $\backslash$$ & $0\backslash \backslash$

$\backslash$hline Ending short$-$term debt & $\backslash$$ & $0$ & & & $\backslash$$ & $0$ & $\backslash$$ & $0\backslash \backslash$

$\backslash$hline

$\backslash$end$\{$tabular$\}$