Scenario 2 - HONDA Motorcycles Motocycle Inc. have been selling motorcycles for 20 years. Last year they took a risk and started to sell one of Hondas scooters having previously focused on the larger Honda bikes, for the more seasoned biker. After the success of carrying just one scooter they are considering investing $550,000 to expand the dealership and start selling a full range of scooters. Part 1 - Internal Sources of Funding Part 2 - Budget Part 3 - The Expansion Part 3 - The Expansion The management of the company have decided to expand the store and sell more scooters based on the success of the PCX150. In total the expansion will cost $550,000. Financial Investment Analysis Working Capital A/R 5,000 Inventory 20,000 Capital Assets Building 415,000 Furniture & Fittings 35,000 Equipment 25,000 Marketing Costs 50,000 Total Financial Investment Needed 550,000 MotoCycle has been preapproved for a $250,000 mortgage. Assignment: Develop a financial requirement plan that can provide guidance on how to raise funds to meet this need. (Note: There are many potential solutions) 1. Your financial requirement plan must include a minimum of 5 difference sources of financing and meet the financial needs of the business (2 marks) 2. Each source that you choose to use must be evaluated with a written discussion of the advantages and disadvantages of each method. (Minimum one paragraph per source) (20 marks) 3. A final conclusion outlining the main reasons why you think that your chosen sources of financing are the most suitable for this company's expansion needs.( 3 marks) The total financial plan should be at least 2 but no more than 4 pages long, double spaced. If you have used any resources other than the text to complete the assignment, please cite them on the last page of your report. Materials and Resources Assignment Steps Evaluation Breakdown Scenario 2 - HONDA Motorcycles Motocycle Inc. have been selling motorcycles for 20 years. Last year they took a risk and started to sell one of Hondas scooters having previously focused on the larger Honda bikes, for the more seasoned biker. After the success of carrying just one scooter they are considering investing $550,000 to expand the dealership and start selling a full range of scooters. Part 1 - Internal Sources of Funding Part 2 - Budget Part 3 - The Expansion Part 3 - The Expansion The management of the company have decided to expand the store and sell more scooters based on the success of the PCX150. In total the expansion will cost $550,000. Financial Investment Analysis Working Capital A/R 5,000 Inventory 20,000 Capital Assets Building 415,000 Furniture & Fittings 35,000 Equipment 25,000 Marketing Costs 50,000 Total Financial Investment Needed 550,000 MotoCycle has been preapproved for a $250,000 mortgage. Assignment: Develop a financial requirement plan that can provide guidance on how to raise funds to meet this need. (Note: There are many potential solutions) 1. Your financial requirement plan must include a minimum of 5 difference sources of financing and meet the financial needs of the business (2 marks) 2. Each source that you choose to use must be evaluated with a written discussion of the advantages and disadvantages of each method. (Minimum one paragraph per source) (20 marks) 3. A final conclusion outlining the main reasons why you think that your chosen sources of financing are the most suitable for this company's expansion needs.( 3 marks) The total financial plan should be at least 2 but no more than 4 pages long, double spaced. If you have used any resources other than the text to complete the assignment, please cite them on the last page of your report. Materials and Resources Assignment Steps Evaluation Breakdown Scenario 2 - HONDA Motorcycles Motocycle Inc. have been selling motorcycles for 20 years. Last year they took a risk and started to sell one of Hondas scooters having previously focused on the larger Honda bikes, for the more seasoned biker. After the success of carrying just one scooter they are considering investing $550,000 to expand the dealership and start selling a full range of scooters. Part 1 - Internal Sources of Funding Part 2 - Budget Part 3 - The Expansion Part 3 - The Expansion The management of the company have decided to expand the store and sell more scooters based on the success of the PCX150. In total the expansion will cost $550,000. Financial Investment Analysis Working Capital A/R 5,000 Inventory 20,000 Capital Assets Building 415,000 Furniture & Fittings 35,000 Equipment 25,000 Marketing Costs 50,000 Total Financial Investment Needed 550,000 MotoCycle has been preapproved for a $250,000 mortgage. Assignment: Develop a financial requirement plan that can provide guidance on how to raise funds to meet this need. (Note: There are many potential solutions) 1. Your financial requirement plan must include a minimum of 5 difference sources of financing and meet the financial needs of the business (2 marks) 2. Each source that you choose to use must be evaluated with a written discussion of the advantages and disadvantages of each method. (Minimum one paragraph per source) (20 marks) 3. A final conclusion outlining the main reasons why you think that your chosen sources of financing are the most suitable for this company's expansion needs.( 3 marks) The total financial plan should be at least 2 but no more than 4 pages long, double spaced. If you have used any resources other than the text to complete the assignment, please cite them on the last page of your report. Materials and Resources Assignment Steps Evaluation Breakdown Scenario 2 - HONDA Motorcycles Motocycle Inc. have been selling motorcycles for 20 years. Last year they took a risk and started to sell one of Hondas scooters having previously focused on the larger Honda bikes, for the more seasoned biker. After the success of carrying just one scooter they are considering investing $550,000 to expand the dealership and start selling a full range of scooters. Part 1 - Internal Sources of Funding Part 2 - Budget Part 3 - The Expansion Part 3 - The Expansion The management of the company have decided to expand the store and sell more scooters based on the success of the PCX150. In total the expansion will cost $550,000. Financial Investment Analysis Working Capital A/R 5,000 Inventory 20,000 Capital Assets Building 415,000 Furniture & Fittings 35,000 Equipment 25,000 Marketing Costs 50,000 Total Financial Investment Needed 550,000 MotoCycle has been preapproved for a $250,000 mortgage. Assignment: Develop a financial requirement plan that can provide guidance on how to raise funds to meet this need. (Note: There are many potential solutions) 1. Your financial requirement plan must include a minimum of 5 difference sources of financing and meet the financial needs of the business (2 marks) 2. Each source that you choose to use must be evaluated with a written discussion of the advantages and disadvantages of each method. (Minimum one paragraph per source) (20 marks) 3. A final conclusion outlining the main reasons why you think that your chosen sources of financing are the most suitable for this company's expansion needs.( 3 marks) The total financial plan should be at least 2 but no more than 4 pages long, double spaced. If you have used any resources other than the text to complete the assignment, please cite them on the last page of your report. Materials and Resources Assignment Steps Evaluation Breakdown