1.What steps did Jim Moon take to build a relationship between his business and Bank Rhode Island?

2.What collateral, if any, do you think Moonworks can use as security for a future loan? Explain your answer.

3.Put yourself into the shoes of the banker handling the Moonworks' account. What questions would you ask if the company asks for additional debt financing?

1.How would you describe Honest Tea's ideal level of market coverage? Why would this intensity of market coverage be appropriate for such beverages?

2.Should Honest Tea use the same distribution channels for its K-Cup pods as it uses for its bottled and canned tea beverages? Explain your answer.

3.What aspects of physical distribution are particularly important for Honest Tea's products that are packaged in glass bottles?

1.What are the ethical and legal implications of using accounting practices such as the book-and-hold technique to accelerate revenues and inflate corporate earnings?

2.Why would Commodore's auditor insist that Rob document any sales booked under the book-and-hold technique?

3.If you were in Rob's situation, would you agree to use the book-and-hold technique this month to accelerate revenues? Justify your decision

4.Imagine that Commodore has taken out a multimillion-dollar loan that must be repaid next year. How might the lender react if it learned that Commodore was using the book-and-hold method to make revenues look higher than they really are?