4. What internal funding options does Dell have to finance projected sales growth of 50% in fiscal 1007?

You have the information from 1996. Could Dell do the same thing in 1997? Calculate how much money would be liberated.

Exhibit 1 Dell's annual worldwide sales dollar growth versus industry. Calendar Year Della Industry 1991 63% 2% 1992 126% 7% 1993 43% 15% 1994 37% 1% 31% 1995 52% Source: Dell Computer Corporation Fiscal 1996 Annual Report case ter estimates from industry market share data from International Data Corporation. aDell's fiscal year closest in alignment to calendar year stated. Exhibit 2 Working Capital Financial Ratios for Dell. CCCd DSI DSO DPO Q193 40 46 48 Q293 44 51 40 Q393 47 48 Q493 56 55 Q194 55 57 Q294. 41 43 Q394 33 45 Q494. 33 42 Q195 32 40 45 Q295 49 44 40 Q395 35 46 39 Q495 32 47 44 35 Q196 42 47 39 Q296 36 43 43 Q396 37 49 43 43 Q496 31 40 Source: Dell Computer Corporation fiscal 1993-1996 annual and quarterly reports. aDSI (Days Sales of Inventory) Net Inventory (Quarterly COGs/90). DDSO (Days Sales outstanding Net Accounts Receivables (Quarterly Sales/90. CDPO Days Payablesoutstanding) Accounts Payables (Quarterly COGS/9). do CC (Cash Conversion Cycle) DSI DSO-DPO. Exhibit 3 Percent of Dell Computer Systems Sales by Microprocessor. Computer Systems FY95 3B6 models 7% 0% 71% 4B6 models 92% 25% Pentium models 1%. 29% 75% Source: Dell Computer Corporation Fiscal 1994-96 Annual Reports