Questions:

1. Assuming Depreciation1996 =0, prepare Dell's following financial data in 1996:

a. Cash Flow Statement

b. Sources & Uses Table.

c. Explain how Dell financed its growth in 1996.

2. Using the data provided in Table A, Exhibit 4 & 5, calculate the increase in:

a. Inventory Dell would have needed

b. The obsolescence loss it would incur

if it operated at Compaq's DSI levels in 1995 (Hint: DSI=DIH).

3. Compare the Cash Conversion Cycles of Dell in 1995 and 1996.

a. How did it change and why?

b. Was Dell successful in reflecting its focus on Liquidity?

(Hint: Use the balance of that year only instead of average balances, as 1994

numbers for Acc. Payable is not available)

4. Prepare the proforma Balance Sheet and Income Statement for the targeted

50% increase in 1997 Sales. Analyze if Dell can finance this fast growth

internally without raising Long-term Debt or Equity. (Hint: Assume Profit

Margins and Turnover Days will not change, Depreciation is again zero and no

Dividends will be distributed).

5. Assuming the Minimum required Cash & S-Term Investments of Dell is $200

mio, calculate the maximum amount of Dividends Dell can distribute in

March, 1998 based on its expected performance in 1997.

I COULDN'T PUT THE DATA, THE SYSTEM IS NOT ALLOW.(I CAN NOT DO COPY PASTE) SO PLEASE TELL ME HOW CAN GET HELP FROM YOU AFTER I PAID 50 DOLAR!!!!!