Question $(4)$

Directions: Click the Case Link above and use the information provided in Brook Plumbing Supply Compan Inc., Part B to answer this question:

What is the impact of sales growth on Brook Plumbing's borrowing needs?

The business has long$-$term sales growth, which is a potential borrowing cause; but it has no seasonal sales peak.

The business has no long$-$term sales growth and no seasonal sales peak, so there is no borrowing caused by sales growth.

The business has long$-$term sales growth and a seasonal sales peak, both of which are potential borrowing causes.