AFM391 Case - Breeze Manufacturing Ltd. Breeze Manufacturing Ltd. (BML) is a private manufacturing company in Waterloo that manufactures eco-friendly food packaging. BML follows ASPE. Historically, BML has been solvent; however, with the effects of COVID, BML is experiencing diminished cash flows from an increase in costs of doing their business. As a result, BML took out a $500,000, 4% line of credit to fund its operations. There are no repayment terms so long as BML maintains a maximum debt to equity ratio of 1.25 at the end of each fiscal year. Currently, BML's only debt is the line of credit, and it has total Shareholders' Equity of $1,000,000