Part III - B: Lee Incorporated: Based on total 2015 sales of $4,000,000, management has forecasted the following monthly growth in sales and monthly cash collection measures for 2016:

Create a 12-month cash flow budget in Excel using the following assumptions:

Annual 2015 sales of $4,000,000 with forecasted monthly growth of 2%

45% of each months sales for cash; 25% collected the following month; 20% collected 2 months later; 8% collected 3 months later; and 2% never collected

Initial cash balance of $300,000

Assuming an initial cash balance of $300,000, management has concluded that they will achieve an ending cash balance of $31,000,000.

Part III - B: In a few sentences, evaluate managements conclusion. (200 points