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Wildcat plans a major capital outlay in the second quarter of $ 9 9 million. Finally, the company started the year with a $ 7

Wildcat plans a major capital outlay in the second quarter of $99 million. Finally, the
company started the year with a $78 million cash balance and wishes to maintaln a $40
million minmum balance.
a-1. Assume that Wildcat can borrow any needed funds on a short-t Wildcat. (Leave no cells blank - be certaln to enter "0" wherever
required. A negative answer should be Indlcated by a minus sign. Do not round
Intermedlate calculations and enter your answers In millilons, rounded to 2
decimal places, e.g.,32.16.)
a-2. What is the net cash cost (total interest paid minus total investment income earned) for the year under this target cash balance? (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter
b-1. Complete the following short-term financial plan assuming that Wildcat maintains a minimum cash balance of $20 million. (Leave no cells blank - be certain to enter "0" wherever required. A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answers in millions, rounded to 2 decimal places, e.g.,32.16.)
WILDCAT, INC.
Short-Term Financial Plan
(in millions)
Q1 Q2 Q3 Q4
Minimum cash balance $20.00 $20.00 $20.00 $20.00
Net cash inflow
New short-term investments 0
Income from short-term investments
Short-term investments sold 000
New short-term borrowing 0000
Interest on short-term borrowing 0000
Short-term borrowing repaid 0000
Ending cash balance $20.00 $20.00 $20.00 $20.00
Minimum cash balance -20.00-20.00-20.00-20.00
Cumulative surplus (deficit) $0 $0 $0 $0
Beginning short-term investments
Ending short-term investments
Beginning short-term debt $0 $0 $0 $0
Ending short-term debt $0 $0 $0 $0
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