the discretionary financing

a. What is the discretionary financing needed in 2011? Is this a surplus or deficit?

b. Asumme that the DFN will be absorbed by long-term debt and tht the total interest rate is 4.5% of LTD. Set up an iterative worksheet to eliminate it.

c. Create a chart of cash vs. sales and add a linear trend line. Is the cash balance a consistent % of sales? Does the relationship fit your expectations?

d. Us the regression tool to verify your results from part c. Is the trend statistically significant? Use at least thre methods to show why or why not.