It is an individual assignment. Email it to me by the due date via Canvas. Attach a spreadsheet showing calculation and a Word document showing your work and how you arrived at RBS's funding needs, Refer again to the case, Walnut Venture Associates (A). Refer to the financials in the case exhibits. Note that the working capital needed is missing in the cash flow statement (last exhibit). You will provide the spreadsheet with three scenarios. One is the base case as is in the case exhibit but add the working capital investment needed in estimating the net cash flow. Note that the working capital is the current assets minus the current liablitities (use the balance sheet for the prior year) and use the percentage of sales approach (the working capital to the sales for the prior year) to project the net working capital investment needed in future. In the second scenario, consider a lower growth rate in RBS's sales (since the entreprencurs overestimate the sales projections) and then you re-estimate the cash flow, In the third scenario, keep the sales projections as given but increase the cost projections (since the entrepreneurs underestimate the costs), and then you re-estimate the net cash flow. The scenarios will result in net cash deficits that indicate RBS's funding requirements and the timing when the funding is needed. The three scenarios Will be on three tabs on one Excel spreadsheet, and the Word document will explain how you arrived at RBS's funding reeds and timing You you wilis iartentoe revenue. Table 2. The Top Ten Geographic Concentrations of Software Companies 22 Current: 33 Liabilities and Stockholders' Equity 34 Current liabilities: Commitments and contingencies: Stockholders' equity Common stock Retained eamings Total stockholders' equity Total liabirtities and stockholders' equity \begin{tabular}{|r|rr|} \hline 401,912 & 401,912 & 1,912 \\ \hline 520,748 & 493,861 & 433,244 \\ \hline 922,660 & 895,773 & 435,156 \\ \hline$1,833,589 & $1,520,801 & $1,086,792 \\ \hline \end{tabular} Exhble B Solaskovenue Plan Exhiblt C Financial Projactions \[ \begin{array}{|c|c|c|c|c|c|c|c|c|c|c|c|} \hline \multicolumn{7}{|c|}{\text { FY } 1998-1999} & \multicolumn{1}{c|}{\text { FY } 1999-2000} \\ \hline \text { Q1 } & \text { Q2 } & \text { Q3 } & \text { Q4 } & \text { TOTAL } & \text { Q1 } & \text { Q2 } & \text { Q3 } & \text { Q4 } & \text { TOTAL } \\ \hline \end{array} \] REVENUE: New Business: Recurring Business: Recuming Service Rete Maint Rov Total \begin{tabular}{|r|r|r|r|r|r|r|r|r|r|r|} \hline 210,000 & 225,000 & 255,000 & 270,000 & 960,000 & 212,000 & 223,000 & 249,000 & 291,000 & 975,000 \\ \hline 75,000 & 75,000 & 75,000 & 75,000 & 300,000 & 130,000 & 130,000 & 196,000 & 273,000 & 729,000 \\ \hline 285,000 & 300,000 & 330,000 & 345,000 & 1,260,000 & 342,000 & 353,000 & 445,000 & 564,000 & 1,704,000 \\ \hline 1,185,000 & 1,300,000 & 1,730,000 & 2,345,000 & 6,560,000 & 3,142,000 & 3,153,000 & 3,245,000 & 3,764,000 & 13,304,000 & \\ \hline \end{tabular} Total Revenue Cost of Sales: Royaliy 25\% Prod. \begin{tabular}{|r|r|r|r|r|r|r|r|r|r|} \hline 137,250 & 152,500 & 213,500 & 305,000 & 808,250 & 427,000 & 427,000 & 427,000 & 488,000 & 1,769,000 \\ \hline 63,000 & 70,000 & 98,000 & 140,000 & 371,000 & 196,000 & 196,000 & 196,000 & 224,000 & 812,000 \\ \hline 200,250 & 222,500 & 311,500 & 445,000 & 1,179,250 & 623,000 & 623,000 & 623,000 & 712,000 & 2,581,000 \\ \hline \end{tabular} Salaries: Payiol Pavtol Taxes Heakh insurance Total 32 34 Debt Service 35 It is an individual assignment. Email it to me by the due date via Canvas. Attach a spreadsheet showing calculation and a Word document showing your work and how you arrived at RBS's funding needs, Refer again to the case, Walnut Venture Associates (A). Refer to the financials in the case exhibits. Note that the working capital needed is missing in the cash flow statement (last exhibit). You will provide the spreadsheet with three scenarios. One is the base case as is in the case exhibit but add the working capital investment needed in estimating the net cash flow. Note that the working capital is the current assets minus the current liablitities (use the balance sheet for the prior year) and use the percentage of sales approach (the working capital to the sales for the prior year) to project the net working capital investment needed in future. In the second scenario, consider a lower growth rate in RBS's sales (since the entreprencurs overestimate the sales projections) and then you re-estimate the cash flow, In the third scenario, keep the sales projections as given but increase the cost projections (since the entrepreneurs underestimate the costs), and then you re-estimate the net cash flow. The scenarios will result in net cash deficits that indicate RBS's funding requirements and the timing when the funding is needed. The three scenarios Will be on three tabs on one Excel spreadsheet, and the Word document will explain how you arrived at RBS's funding reeds and timing You you wilis iartentoe revenue. Table 2. The Top Ten Geographic Concentrations of Software Companies 22 Current: 33 Liabilities and Stockholders' Equity 34 Current liabilities: Commitments and contingencies: Stockholders' equity Common stock Retained eamings Total stockholders' equity Total liabirtities and stockholders' equity \begin{tabular}{|r|rr|} \hline 401,912 & 401,912 & 1,912 \\ \hline 520,748 & 493,861 & 433,244 \\ \hline 922,660 & 895,773 & 435,156 \\ \hline$1,833,589 & $1,520,801 & $1,086,792 \\ \hline \end{tabular} Exhble B Solaskovenue Plan Exhiblt C Financial Projactions \[ \begin{array}{|c|c|c|c|c|c|c|c|c|c|c|c|} \hline \multicolumn{7}{|c|}{\text { FY } 1998-1999} & \multicolumn{1}{c|}{\text { FY } 1999-2000} \\ \hline \text { Q1 } & \text { Q2 } & \text { Q3 } & \text { Q4 } & \text { TOTAL } & \text { Q1 } & \text { Q2 } & \text { Q3 } & \text { Q4 } & \text { TOTAL } \\ \hline \end{array} \] REVENUE: New Business: Recurring Business: Recuming Service Rete Maint Rov Total \begin{tabular}{|r|r|r|r|r|r|r|r|r|r|r|} \hline 210,000 & 225,000 & 255,000 & 270,000 & 960,000 & 212,000 & 223,000 & 249,000 & 291,000 & 975,000 \\ \hline 75,000 & 75,000 & 75,000 & 75,000 & 300,000 & 130,000 & 130,000 & 196,000 & 273,000 & 729,000 \\ \hline 285,000 & 300,000 & 330,000 & 345,000 & 1,260,000 & 342,000 & 353,000 & 445,000 & 564,000 & 1,704,000 \\ \hline 1,185,000 & 1,300,000 & 1,730,000 & 2,345,000 & 6,560,000 & 3,142,000 & 3,153,000 & 3,245,000 & 3,764,000 & 13,304,000 & \\ \hline \end{tabular} Total Revenue Cost of Sales: Royaliy 25\% Prod. \begin{tabular}{|r|r|r|r|r|r|r|r|r|r|} \hline 137,250 & 152,500 & 213,500 & 305,000 & 808,250 & 427,000 & 427,000 & 427,000 & 488,000 & 1,769,000 \\ \hline 63,000 & 70,000 & 98,000 & 140,000 & 371,000 & 196,000 & 196,000 & 196,000 & 224,000 & 812,000 \\ \hline 200,250 & 222,500 & 311,500 & 445,000 & 1,179,250 & 623,000 & 623,000 & 623,000 & 712,000 & 2,581,000 \\ \hline \end{tabular} Salaries: Payiol Pavtol Taxes Heakh insurance Total 32 34 Debt Service 35