Car manufacturers are developing engines that use H_2 as fuel. In Iceland, Sweden, and other parts of Scandinavia, where hydroelectric plants produce inexpensive electric power, the H_2 can be made in

a. To determine the monthly cash expenses, we need to divide the net cash flows from operating activities by 12 (the number of months in a year): Monthly cash expenses = ($23,018) / 12 = ($1,918.17) Therefore, Capstone Turbine Corporation's monthly cash expenses were \approx imately $1,918.17 thousand. b. To determine the ratio of cash to monthly cash expenses, we need to divide the amount of cash and cash equivalents by the monthly cash expenses: Cash to monthly cash expenses ratio = $32,221 / $1,918.17 = 16.78 Therefore, Capstone Turbine Corporation had a cash to monthly cash expenses ratio of 16.78, which means it had enough cash to cover its monthly cash expenses almost 17 times over. c. Based solely on the information given, it is difficult to determine whether Capstone Turbine will remain in business. While the company had negative net cash flows from operating activities for the year, it had enough cash and cash equivalents to cover its monthly expenses for a significant amount of time. Other factors, such as the company's overall financial health, market demand for its products, and competition, would need to be considered in order to make a more informed prediction about its future prospects.