Construct a short-term financial plan for Springfield Snowboards based on its expansion opportunity described in the "Positive Cash Flow Shocks" part of Section 20.1. Base the plan on the following table, which forecasts additional capital expenditures, marketing (SG&A), and working capital in Q1 and Q2 along with higher sales in Q2–Q4. Assume that Springfield ends 2012 with $1 million in cash and that its bank will offer it a short-term loan at the rate 2.5% per quarter (see MyFinanceLab for the data in Excelformat).

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Quarter 201204 201301 201302 201303 20130 Income Statement ($000) Sales Cost of Goods Sold Selling, General, and Administraive EBITDA Depreciation EBIT Taxes Net Income Statement of Cash Flows Net Income Depreciation ,545 5,000 6,000 6,000 6,000 55 -3,250-3,900 -3,900 3,900 455-1,000-600-600600 1,136 750 1,500 ,500 1,500 455500525525525 682 250 975 975 975 23988 34341341 443 162 634 634 634 162 634 634 634 500 525 525 525 Changes in Working Capital Accounts Receivable nventory Accounts Payable -136-300 48 105 Cash from Operating Activ ities 574 964 1,159 1,150 |-1,500 | -525 | -525 | -525 Capital Expenditures Other Investment Cash from Investing Activities Net Borrowing Dividends Capital Contributions Cash from Financing Activities Change in Cash and Equivalents 18+21 +25) -1,500525-525-525 926 439 634634