provide cash flow and balance sheet etc plz and datail answer. thx a lot.

Harlem Koo has been working for an independent financial advisor, Kandel Financial Group, as a financial planner since 2013. He moved to the financial advisory business after serving at Kate Sloan as a merchandiser for 10 years. Kate Sloan is a high-end fashion and accessories distributor targeting high-income female executives. As a merchandiser at Kate Sloan, he has established a strong people network in the industry over the years. Since joining Kandel, he has been able to leverage on his network to sell insurance and wealth management products to clients. As one of the top sales executives within Kandel, he has won the Chairman's Award for 3 consecutive years and contributed over $1.8M gross commission and fees to the firm every year. Since January 2018, he was promoted as a senior consultant with additional responsibilities to recruit and train younger team members to sell wealth management products. He is the head of the team consisting of 8 junior financial planners. The team has been very productive in 2018 and contributed a commission of $3M to the firm. However, the operating environment has deteriorated since the beginning of 2020. Many clients are reluctant to buy products represented by Kandel because of the falling yield on investment products, COVID-19. the China-US trade war and the unstable political environment in Hong Kong. As the head of the team, Harlem has been under pressure from Kandel's senior management to grow his client portfolio and commission income. He has been given a target of $5M at the beginning of the year, but his team only generated commission and fees of $1.5M in the first half. Therefore, Harlem was worried that he may miss his performance target by the end of the year. He believes a new strategy is needed for his team, failing which he will have to quit and make a career move. While Harlem was scratching his head to identify a new direction for his team, he remembered that the central government announced the Outline Development Plan for the Greater Bay Area". During the press conference, Hong Kong was cited to play a pivotal role in developing itself as an insurance and asset management hub. He therefore did some research to understand the government's long-term plan on the industry sector. After reading the materials (see Annex 1 & 2), he was still puzzled as the policy objectives are very high level, which may take a long time to map out it benefit to the industry. He kept asking the question: "what should I do?" From a macro perspective, the Greater Bay Area has tremendous potential for a financial planner given its large population and vibrant economic growth. The challenge is whether he could act and move quickly in order to enjoy the first mover advantage over other competitors. In February 2019, he took a short trip to the area to call upon his friends and contacts to discuss potential business opportunities. One of his old friends at Kate Sloan who moved to Shenzhen five years ago mentioned to him about an on line insurance business for sale at the price of RMB2.7M. He studied the business summary of the target company (see Annex 3) and was introduced to the founder of the business. After the meeting, he felt he was interested but was undecided as to whether he should put in an offer or not, and if he should, how would he counter offer the asking price. Harlem returned to Hong Kong with an unsettled mind. The two questions that came to his mind were whether he should: 1) Maintain the status quo and work out a new 2020 target with senior management at Kandel; or 2) Move out of his comfort zone take up the challenge to operate the on-line insurance business in Shenzhen. In order to make a sensible decision, Harlem sat In order to make a sensible decision, Harlem sat down with his wife Anita to evaluate which option would offer him and the family a better future. Despite numerous financial plans he compiled for his clients, this is the first time Harlem has to gather information on the financial affairs of the family. The following is a summary of the information he collected: 1. Anita and Harlem were married in 2008. Anita is aged 36 while Harlem is 38, so the couple has a relatively long working life before retirement. They have a 10-year-old son Jonathan and a 8-year-old daughter Janice, both are studying in primary school. Anita used to be a piano teacher but she quit her job since getting married. 2. According to the 2019/20 salaries tax assessment from the government, Harlem has the following income and salaries tax payable: 201920 Total income Basic salary 120.000 Commission LOSSARD 1.175.000 Personal allowance Married allowance (254000) Chid allowance (240.000) Dependent parent allowance 150.000 (554.000) Net chargeable income 621,000 Salaries tax payable 87570 Tax reduction Sataries tax payable aner-tax reduction 3. Harlem receives a basic salary of $10K per month from Kandel, and his commission income was $1.055M for the year ended 31/3/2020. 4. Harlem's mother is 70 years of age, in good health and lives on her own means. Harlem contributes $2K every month to sunnart her living pynenses $1.055M for the year ended 31/3/2020. 4. Harlem's mother is 70 years of age, in good health and lives on her own means. Harlem contributes $2K every month to support her living expenses. Harlem's father passed away 8 years ago at the age of 72. As Harlem is the only son, he inherited his father's estate for approximately $4M. primarily in bank deposits for which he keeps in investment funds and stocks. Anita's parents are living with her younger brother, thus no financial support is needed from other family members. 5. Harlem and Anita bought their 2-bedroom home in Shatin when they got married. The purchase consideration was $3.2M with a mortgage loan of $2.1M. The monthly mortgage payment is $10,000 per month, with an outstanding balance of $1.2M. The property is now worth around $10M and the mortgage loan will be paid off by 2023. The property management fee is $2K per month. 6. The Koo family has overall liquid assets of around $9M, inclusive of the estate from Harlem's father. Details are as follows: TYD yield Investment funds Global emerging mares equity fund Megh yield bond und 1.200.000 2.000.000 3.200.000 Son Equitymarket investments Usted stocks Equity redes (90%) 2.000.000 1.000.000 3.000.000 Insurance and savings Investment inkedinsurance scheme Time post Savings deposit 1.300.000 300.000 700.000 2.100.000 25 05 Totatique assets 9.000.000 7. Kandel does not provide medical benefits to its employees, therefore Harlem purchased a comprehensive medical insurance, which covers inpatient, dental and outpatient benefits for all family members. The policy costs $60,000 per year, Total d assets 7. Kandel does not provide medical benefits to its employees, therefore Harlem purchased a comprehensive medical insurance, which covers inpatient, dental and outpatient benefits for all family members. The policy costs $60,000 per year, which includes 100% reimbursement on medical treatment and inpatient hospital services and 80% reimbursement on all outpatient services. The investment linked insurance scheme offers life insurance coverage of $5M with a guaranteed dividend of 3.2% per annum on the principal sum. 8. The Koo family owns a Mercedes XS for business and leisure use. The car was purchased in 2017 at the price of $750K. Harlem pays $6K per month for two car parking space at home and at work. The gasoline and cleaning bills are around $4K per month. The family's living expenses are around $20K per month, including food, utilities and other miscellaneous expenses. The pay for the Pilipino maid is $4.5K per month. Moreover, Harlem enjoys taking the family for some fine dining every week for which he spends approximately $4K per month. Both Harlem and Anita like shopping, and they spend around $3K per month on themselves and the children, such as fashion, casual wear and shoes, as well as other household items. Jonathan and Janice attend private schools, and their monthly tuition fee is $3K each per month. Jonathan and Harlem play tennis every week, and the coach charges $1K per month. Janice attends swimming lessons at the South China Club every Saturday at the cost of $1.5K per month Harlem has a strong belief that the Greater Bay Area should offer a unique career opportunity for him due to an increasing demand for wealth Harlem has a strong belief that the Greater Bay Area should offer a unique career opportunity for him due to an increasing demand for wealth management and financial planning services. However, he wasn't sure whether he should deploy his own capital and resources to build and broaden his client base in the Greater Bay Area. His other worries include the recent unfavorable macro environment including slower economic growth, a weakening RMB, rapid regulatory changes and continuing market reforms in the financial sector, which would affect the overall investment return in China. He was struggling with the choice of maintaining his job at Kandel so that he can maintain the well being of his family in the near and medium term or would it be better for him to extend his reach to the Greater Bay Area. However, he is quite certain that if he decides to go with the China business, the family's living standard may worsen in the near term because he may not be able to sustain the same level of income in the initial years. You are Harlem's best friend at college, hence he came to you to seek your advice as to the best course of action and how he can achieve his financial goals with the opportunity in the Greater Bay Area while maintaining the family financially stable in the long run. Question: Please provide some advice for Harlem in the form of a comprehensive report covering the following areas: a. An analysis of the family's financial position and evaluate its health conditions; b. An evaluation of the business opportunity and advise whether Horlom ohould on for it or not if on nlanan Question: Please provide some advice for Harlem in the form of a comprehensive report covering the following areas: a. An analysis of the family's financial position and evaluate its health conditions; b. An evaluation of the business opportunity and advise whether Harlem should go for it or not. If so, please recommend a reasonable price for the business; c. A detailed financial plan so that Harlem can offer financial stability for the family Notes: 1. All dollars represent Hong Kong dollars, unless otherwise specified. 2. Harlem's risk profile indicates that he is a risk taker. 3. Please make appropriate assumptions in your analysis, such as economic growth, inflation, risk-free rate, prime rate, deposit rate and banl borrowing rate, life expectancy, etc. Harlem Koo has been working for an independent financial advisor, Kandel Financial Group, as a financial planner since 2013. He moved to the financial advisory business after serving at Kate Sloan as a merchandiser for 10 years. Kate Sloan is a high-end fashion and accessories distributor targeting high-income female executives. As a merchandiser at Kate Sloan, he has established a strong people network in the industry over the years. Since joining Kandel, he has been able to leverage on his network to sell insurance and wealth management products to clients. As one of the top sales executives within Kandel, he has won the Chairman's Award for 3 consecutive years and contributed over $1.8M gross commission and fees to the firm every year. Since January 2018, he was promoted as a senior consultant with additional responsibilities to recruit and train younger team members to sell wealth management products. He is the head of the team consisting of 8 junior financial planners. The team has been very productive in 2018 and contributed a commission of $3M to the firm. However, the operating environment has deteriorated since the beginning of 2020. Many clients are reluctant to buy products represented by Kandel because of the falling yield on investment products, COVID-19. the China-US trade war and the unstable political environment in Hong Kong. As the head of the team, Harlem has been under pressure from Kandel's senior management to grow his client portfolio and commission income. He has been given a target of $5M at the beginning of the year, but his team only generated commission and fees of $1.5M in the first half. Therefore, Harlem was worried that he may miss his performance target by the end of the year. He believes a new strategy is needed for his team, failing which he will have to quit and make a career move. While Harlem was scratching his head to identify a new direction for his team, he remembered that the central government announced the Outline Development Plan for the Greater Bay Area". During the press conference, Hong Kong was cited to play a pivotal role in developing itself as an insurance and asset management hub. He therefore did some research to understand the government's long-term plan on the industry sector. After reading the materials (see Annex 1 & 2), he was still puzzled as the policy objectives are very high level, which may take a long time to map out it benefit to the industry. He kept asking the question: "what should I do?" From a macro perspective, the Greater Bay Area has tremendous potential for a financial planner given its large population and vibrant economic growth. The challenge is whether he could act and move quickly in order to enjoy the first mover advantage over other competitors. In February 2019, he took a short trip to the area to call upon his friends and contacts to discuss potential business opportunities. One of his old friends at Kate Sloan who moved to Shenzhen five years ago mentioned to him about an on line insurance business for sale at the price of RMB2.7M. He studied the business summary of the target company (see Annex 3) and was introduced to the founder of the business. After the meeting, he felt he was interested but was undecided as to whether he should put in an offer or not, and if he should, how would he counter offer the asking price. Harlem returned to Hong Kong with an unsettled mind. The two questions that came to his mind were whether he should: 1) Maintain the status quo and work out a new 2020 target with senior management at Kandel; or 2) Move out of his comfort zone take up the challenge to operate the on-line insurance business in Shenzhen. In order to make a sensible decision, Harlem sat In order to make a sensible decision, Harlem sat down with his wife Anita to evaluate which option would offer him and the family a better future. Despite numerous financial plans he compiled for his clients, this is the first time Harlem has to gather information on the financial affairs of the family. The following is a summary of the information he collected: 1. Anita and Harlem were married in 2008. Anita is aged 36 while Harlem is 38, so the couple has a relatively long working life before retirement. They have a 10-year-old son Jonathan and a 8-year-old daughter Janice, both are studying in primary school. Anita used to be a piano teacher but she quit her job since getting married. 2. According to the 2019/20 salaries tax assessment from the government, Harlem has the following income and salaries tax payable: 201920 Total income Basic salary 120.000 Commission LOSSARD 1.175.000 Personal allowance Married allowance (254000) Chid allowance (240.000) Dependent parent allowance 150.000 (554.000) Net chargeable income 621,000 Salaries tax payable 87570 Tax reduction Sataries tax payable aner-tax reduction 3. Harlem receives a basic salary of $10K per month from Kandel, and his commission income was $1.055M for the year ended 31/3/2020. 4. Harlem's mother is 70 years of age, in good health and lives on her own means. Harlem contributes $2K every month to sunnart her living pynenses $1.055M for the year ended 31/3/2020. 4. Harlem's mother is 70 years of age, in good health and lives on her own means. Harlem contributes $2K every month to support her living expenses. Harlem's father passed away 8 years ago at the age of 72. As Harlem is the only son, he inherited his father's estate for approximately $4M. primarily in bank deposits for which he keeps in investment funds and stocks. Anita's parents are living with her younger brother, thus no financial support is needed from other family members. 5. Harlem and Anita bought their 2-bedroom home in Shatin when they got married. The purchase consideration was $3.2M with a mortgage loan of $2.1M. The monthly mortgage payment is $10,000 per month, with an outstanding balance of $1.2M. The property is now worth around $10M and the mortgage loan will be paid off by 2023. The property management fee is $2K per month. 6. The Koo family has overall liquid assets of around $9M, inclusive of the estate from Harlem's father. Details are as follows: TYD yield Investment funds Global emerging mares equity fund Megh yield bond und 1.200.000 2.000.000 3.200.000 Son Equitymarket investments Usted stocks Equity redes (90%) 2.000.000 1.000.000 3.000.000 Insurance and savings Investment inkedinsurance scheme Time post Savings deposit 1.300.000 300.000 700.000 2.100.000 25 05 Totatique assets 9.000.000 7. Kandel does not provide medical benefits to its employees, therefore Harlem purchased a comprehensive medical insurance, which covers inpatient, dental and outpatient benefits for all family members. The policy costs $60,000 per year, Total d assets 7. Kandel does not provide medical benefits to its employees, therefore Harlem purchased a comprehensive medical insurance, which covers inpatient, dental and outpatient benefits for all family members. The policy costs $60,000 per year, which includes 100% reimbursement on medical treatment and inpatient hospital services and 80% reimbursement on all outpatient services. The investment linked insurance scheme offers life insurance coverage of $5M with a guaranteed dividend of 3.2% per annum on the principal sum. 8. The Koo family owns a Mercedes XS for business and leisure use. The car was purchased in 2017 at the price of $750K. Harlem pays $6K per month for two car parking space at home and at work. The gasoline and cleaning bills are around $4K per month. The family's living expenses are around $20K per month, including food, utilities and other miscellaneous expenses. The pay for the Pilipino maid is $4.5K per month. Moreover, Harlem enjoys taking the family for some fine dining every week for which he spends approximately $4K per month. Both Harlem and Anita like shopping, and they spend around $3K per month on themselves and the children, such as fashion, casual wear and shoes, as well as other household items. Jonathan and Janice attend private schools, and their monthly tuition fee is $3K each per month. Jonathan and Harlem play tennis every week, and the coach charges $1K per month. Janice attends swimming lessons at the South China Club every Saturday at the cost of $1.5K per month Harlem has a strong belief that the Greater Bay Area should offer a unique career opportunity for him due to an increasing demand for wealth Harlem has a strong belief that the Greater Bay Area should offer a unique career opportunity for him due to an increasing demand for wealth management and financial planning services. However, he wasn't sure whether he should deploy his own capital and resources to build and broaden his client base in the Greater Bay Area. His other worries include the recent unfavorable macro environment including slower economic growth, a weakening RMB, rapid regulatory changes and continuing market reforms in the financial sector, which would affect the overall investment return in China. He was struggling with the choice of maintaining his job at Kandel so that he can maintain the well being of his family in the near and medium term or would it be better for him to extend his reach to the Greater Bay Area. However, he is quite certain that if he decides to go with the China business, the family's living standard may worsen in the near term because he may not be able to sustain the same level of income in the initial years. You are Harlem's best friend at college, hence he came to you to seek your advice as to the best course of action and how he can achieve his financial goals with the opportunity in the Greater Bay Area while maintaining the family financially stable in the long run. Question: Please provide some advice for Harlem in the form of a comprehensive report covering the following areas: a. An analysis of the family's financial position and evaluate its health conditions; b. An evaluation of the business opportunity and advise whether Horlom ohould on for it or not if on nlanan Question: Please provide some advice for Harlem in the form of a comprehensive report covering the following areas: a. An analysis of the family's financial position and evaluate its health conditions; b. An evaluation of the business opportunity and advise whether Harlem should go for it or not. If so, please recommend a reasonable price for the business; c. A detailed financial plan so that Harlem can offer financial stability for the family Notes: 1. All dollars represent Hong Kong dollars, unless otherwise specified. 2. Harlem's risk profile indicates that he is a risk taker. 3. Please make appropriate assumptions in your analysis, such as economic growth, inflation, risk-free rate, prime rate, deposit rate and banl borrowing rate, life expectancy, etc