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

follows:

Sales for the first quarter of the following year are projected at $$120$ million. Accounts

receivable at the beginning of the year were $$47$ million. Wildcat has a $45-$day collection

period.

Wildcat's purchases from suppliers in a quarter are equal to $45$ percent of the next

quarter's forecast sales, and suppliers are normally paid in $36$ days. Wages, taxes, and

other expenses run about $20$ percent of sales. Interest and dividends are $$11$ million per

quarter.

Wildcat plans a major capital outlay in the second quarter of $$60$ million. Finally, the

company started the year with a cash balance of $$66$ million and wishes to maintain a

$$30$ million minimum balance.

a$.$ Complete the following cash budget for Wildcat, Incorporated. $($A negative

answer should be indicated by a minus sign. Do not round intermediate

calculations and enter your answers in millions, not dollars, rounded to $2$ decimal

places, e$.$g$.,32\mathrm{.}16.)$ a$.$ Complete the following cash budget for Wildcat, Incorporated. $($A negative

answer should be indicated by a minus sign. Do not round intermediate

calculations and enter your answers in millions, not dollars, rounded to $2$ decimal

places, e$.$g$.,32\mathrm{.}16.)$ Assume that Wildcat can borrow any needed funds on a short$-$term basis at a rate of $3$

percent per quarter and can invest any excess funds in short$-$term marketable securities

at a rate of $2$ percent per quarter.

b$-1.$ Complete the following short$-$term financial plan for Wildcat, Incorporated. $($A

negative answer should be indicated by a minus sign. Do not round intermediate

calculations and enter your answers in millions, not dollars, rounded to $2$ decimal

places, e$.$g$.,32\mathrm{.}16.$ Leave no cells blank $-$ be certain to enter $"$O$"$ wherever

required.$)\backslash$table$[[$Interest on short$-$term borrowing$],[$Short$-$term borrowing repaid$],[$Ending cash balance$],[$Minimum cash balance,$-30\mathrm{.}00,-30\mathrm{.}00,-30\mathrm{.}00,-30\mathrm{.}00],[$Cumulative surplus $($deficit$)],[$Beginning short$-$term investments$],[$Ending short$-$term investments$],[$Beginning short$-$term debt$],[$Ending short$-$term debt,,,,$]]$

b$-2.$ What is the net cash cost $($total interest paid minus total investment income earned$)$ for the year? $($A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answer in millions, not dollars, rounded to $2$ decimal places, e$.$g$.,32\mathrm{.}16.)$

Net cash cost

follows:

Sales for the first quarter of the following year are projected at $$120$ million. Accounts

receivable at the beginning of the year were $$47$ million. Wildcat has a $45-$day collection

period.

Wildcat's purchases from suppliers in a quarter are equal to $45$ percent of the next

quarter's forecast sales, and suppliers are normally paid in $36$ days. Wages, taxes, and

other expenses run about $20$ percent of sales. Interest and dividends are $$11$ million per

quarter.

Wildcat plans a major capital outlay in the second quarter of $$60$ million. Finally, the

company started the year with a cash balance of $$66$ million and wishes to maintain a

$$30$ million minimum balance.

a$.$ Complete the following cash budget for Wildcat, Incorporated. $($A negative

answer should be indicated by a minus sign. Do not round intermediate

calculations and enter your answers in millions, not dollars, rounded to $2$ decimal

places, e$.$g$.,32\mathrm{.}16.)$