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From this information provided below these are the questions I am trying to answer: Findings : What were the pertinent findings of your analysis? How

From this information provided below these are the questions I am trying to answer:

Findings: What were the pertinent findings of your analysis? How did you arrive at your decisions, and how did you use this information to calculate working capital for the company?

Recommendations: What recommendations would you make to improve the situation for the company? Briefly describe your recommendation

Here are your final metrics:

Sales:$22,430

EBIT:$2,190

Net Income:$1,160

Free Cash Flow:$1,314

Equity Value:$2,013

Total Firm Value:$4,557

(data in thousands of dollars)

2018 2019 2020 2021
Minimum Cash Requirement $300 $300 $300 $300
Cash & Equivalents (Shortfall)* $0 -$2,252 -$1,092 $0
Accounts Receivable $4,310 $6,832 $6,832 $6,832
Inventories $3,917 $4,967 $4,967 $4,967
Other CA $0 $0 $0 $0
Total Current Assets $8,528 $9,847 $11,007 $12,099
Net PP&E $40 $40 $40 $40
Other FA $0 $0 $0 $0
Total Assets $8,568 $9,887 $11,047 $12,139
Accounts Payable $1,793 $947 $947 $947
Acrued Expenses $0 $0 $0 $0
Total Current Liabilities $1,793 $947 $947 $947
Amount Borrowed from Credit Line $2,241 $3,200 $3,200 $3,132
Total Liabilities $4,034 $4,147 $4,147 $4,079
Common Stock $200 $200 $200 $200
Retained Earnings $4,334 $5,540 $6,700 $7,860
Total Stockholder's Equity $4,534 $5,740 $6,900 $8,060
Total Liabilities & Equity $8,568 $9,887 $11,047 $12,139

image text in transcribed

-1 JBuHal: Woking Capital Simulation, Step 1: Prepare Instructions First, complete Step 1 (Prepare) of the HBR Working Capital Simulation for Sunflower Nutraceuticals The company operates on thin margins, with a constrained cash position and limited available credit. Looking at the income statement, balance sheet, and statement of cash flows for the company after completing Step 1, address the following: 9 Findings: What were the pertinent findings of your analysis? How did you arrive at your decisions, and how did you use this information to calculate working capital for the company? . Recommendations: What recommendations would you make to improve the situation for the company? Briefly describe your recommendations. Application to Final Project: How can you apply your work on this simulation exercise to your final project? Support your responses by referencing the textbook, the simulation, and other scholarly sources, as this will add substance to your report For additional details, please refer to the Module Two Journal Guidelines and Rubric. O Type here to search

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