FIN 571 TUTOR Motivated Minds/fin571tutor.com FIN 571 TUTOR Motivated Minds/fin571tutor.com | Page 77
Acting as the CEO of a small company, you will apply the
principles of capital budgeting to invest in growth and cash flow
improvement opportunities in three phases over 10 simulated
years. Each opportunity has a unique financial profile and you
must analyze the effects on working capital. Examples of
opportunities include taking on new customers, capitalizing on
supplier discounts, and reducing inventory.
You must understand how the income statement, balance sheet,
and statement of cash flows are interconnected and be able to
analyze forecasted financial information to consider possible
effects of each opportunity on the firm's financial position. The
company operates on thin margins with a constrained cash
position and limited available credit. You must optimize use of
internal and external credit as you balance the desire for growth
with the need for maintaining liquidity.
Sign-in to the simulation and review each of the following:
Welcome Statement
How to Play
Terminology Primer
More Details (this includes information to help you understand
how to play the simulation)
Write a paper of no more than 1,400 words that analyzes your
decisions during each phase (1-3) and how they influenced each
of the following final outcomes (metrics) of SNC:
Sales