Can you guys help me with Part C?
I chose option 3 of Part B.
3) How can Internal Management task with increased profits over 3 years by 5%?
Part B - Select your point of view and groups (if working in a group)-Submit to Assignment folder named Milavec POV" due by December 1st. You are welcome to type your choice in the comment window. If you are working in a group, you are to submit your group members' names at this time as well. After December 1, no new groups may be formed. Each individual/group will be working through the Milavec Financial Statements from one of 3 perspectives or point of view (POV). The view choice is up to you or your group. 1) Investors considering investing $100,000, who will purchase Preferred Stock 2) Lenders considering loaning $100,000 for a 5-10 year term 3) Internal Management tasked with increasing profits over 3 years by 5% Considering your chosen POV, develop 3 or 4 observations to share about Milavec Company that will help others understand Milavec and will help your group formulate an opinion about Milavec that will help you draw a conclusion. Submit your group member names (if applicable) and selected POV. Part C-25 pts - Develop a recommendation and Submit a summary of your analysis and conclusions/recommendation to the D2L Assignment folder titled "Milavec final. - due by December 4th Produce a summary of your conclusion about Milavec, including the recommendation you make for your chosen point of view. (For example, if you are using the Investor POV you would recommend "yes, invest" or "no, do not invest") Provide the analytical tools you used (at least three) that support your conclusion or recommendation. Be sure to include a description of your analysis in addition to the computational work. Each group should produce A visually appealing summary that presents your groups conclusions and provides easy-to-understand analytics to support your conclusion. Supplemental work to provide the supporting calculations/computations and descriptions of your analysis. If you are working in a group, your summary MUST include the names of your group members at the top of the page. 2017 $800,000 MILAVEC COMPANY Income Statements and Statements of Retained Earnings For the Years Ending December 31 2018 Sales $900,000 Cost of goods sold Beginning inventory 43,000 Purchases 637,000 Goods available for sale 680,000 Ending inventory 70,000 Cost of goods sold 610,000 Gross margin 290,000 Operating expenses 248,000 Income before taxes 42,000 Income taxes 17,000 Net income 25,000 Plus: Retained earnings, beginning balance 137,000 Less: Dividends 0 Retained earnings, ending balance $162,000 40,000 483,000 523,000 43,000 480,000 320,000 280,000 40,000 18,000 22,000 130,000 15,000 $137,000 MILAVEC COMPANY Balance Sheets As of December 31 2018 2017 $ 20,000 20,000 4,000 50,000 70,000 4,000 $ 17,000 22,000 3,000 56,000 43,000 4,000 340,000 $508,000 310,000 $455,000 Assets Cash Marketable securities Notes receivable Accounts receivable Merchandise inventory Prepaid expenses Property, plant, and equipment (net) Total assets Liabilities and Stockholders' Equity Accounts payable Salaries payable Taxes payable Bonds payable, 8% Preferred stock, 6%, $100 par, cumulative Common stock, $10 par Retained earnings Total liabilities and stockholders' equity $ 40,000 2,000 4,000 100,000 $ 38,000 3,000 2,000 100,000 50,000 150,000 162,000 50,000 125,000 137,000 $508,000 $455,000 Part B - Select your point of view and groups (if working in a group)-Submit to Assignment folder named Milavec POV" due by December 1st. You are welcome to type your choice in the comment window. If you are working in a group, you are to submit your group members' names at this time as well. After December 1, no new groups may be formed. Each individual/group will be working through the Milavec Financial Statements from one of 3 perspectives or point of view (POV). The view choice is up to you or your group. 1) Investors considering investing $100,000, who will purchase Preferred Stock 2) Lenders considering loaning $100,000 for a 5-10 year term 3) Internal Management tasked with increasing profits over 3 years by 5% Considering your chosen POV, develop 3 or 4 observations to share about Milavec Company that will help others understand Milavec and will help your group formulate an opinion about Milavec that will help you draw a conclusion. Submit your group member names (if applicable) and selected POV. Part C-25 pts - Develop a recommendation and Submit a summary of your analysis and conclusions/recommendation to the D2L Assignment folder titled "Milavec final. - due by December 4th Produce a summary of your conclusion about Milavec, including the recommendation you make for your chosen point of view. (For example, if you are using the Investor POV you would recommend "yes, invest" or "no, do not invest") Provide the analytical tools you used (at least three) that support your conclusion or recommendation. Be sure to include a description of your analysis in addition to the computational work. Each group should produce A visually appealing summary that presents your groups conclusions and provides easy-to-understand analytics to support your conclusion. Supplemental work to provide the supporting calculations/computations and descriptions of your analysis. If you are working in a group, your summary MUST include the names of your group members at the top of the page. 2017 $800,000 MILAVEC COMPANY Income Statements and Statements of Retained Earnings For the Years Ending December 31 2018 Sales $900,000 Cost of goods sold Beginning inventory 43,000 Purchases 637,000 Goods available for sale 680,000 Ending inventory 70,000 Cost of goods sold 610,000 Gross margin 290,000 Operating expenses 248,000 Income before taxes 42,000 Income taxes 17,000 Net income 25,000 Plus: Retained earnings, beginning balance 137,000 Less: Dividends 0 Retained earnings, ending balance $162,000 40,000 483,000 523,000 43,000 480,000 320,000 280,000 40,000 18,000 22,000 130,000 15,000 $137,000 MILAVEC COMPANY Balance Sheets As of December 31 2018 2017 $ 20,000 20,000 4,000 50,000 70,000 4,000 $ 17,000 22,000 3,000 56,000 43,000 4,000 340,000 $508,000 310,000 $455,000 Assets Cash Marketable securities Notes receivable Accounts receivable Merchandise inventory Prepaid expenses Property, plant, and equipment (net) Total assets Liabilities and Stockholders' Equity Accounts payable Salaries payable Taxes payable Bonds payable, 8% Preferred stock, 6%, $100 par, cumulative Common stock, $10 par Retained earnings Total liabilities and stockholders' equity $ 40,000 2,000 4,000 100,000 $ 38,000 3,000 2,000 100,000 50,000 150,000 162,000 50,000 125,000 137,000 $508,000 $455,000
