Look at the financial statements excerpted from the Foundation FastTrack and answer the following questions, explaining the reasons and justification for your answers. 1) Look at the Cash Flow Statement Survey. a. Which companies got an emergency loan? How much? (4 points) b. For each company you mentioned in (a), explain why it got an emergency loan. (8 points) c. How could each company you mentioned in (a) and (b) Have avoided the emergency loan? (6 points) d. For the rest of the companies (those that did not get an emergency loan) evaluate how well each company is managing its cash by looking at the following: Ending cash position (BS) Net change in cash position (CF) Compare investment with financing (CF) Net Income (CF) Any huge cash outflow/inflow (CF) Compare ending cash balance (BS) with Sales (IS), (is this a good cash buffer?) (24 points) 2) Which company has the largest asset base? How big? (Hint: look at the BS) (2 points) 3) Evaluate the capital structure of the company you picked in (2) above. Calculate the leverage ratio (Assets/Equity) and the percentage of equity to debt in the company's assets. Comment on your findings. (6 points) . . Baldwin Chester Digby Erle Ferris $3,273 $2839 $3,524 $3242 $2,180 Financial Summary:Cash Flow Statement Cash Flow Statement Survey Andrews Cashflows from operating activities Not Income|L088) (5838) Adjustment for non-cash hems: Depreciation $1,880 Extraordinary gans/osses writeoffs Changes in current assets and abilities Acounts payable $3,794 Inventory (824718) Accounts Receivable ($2,280) Net cash from operations ($22,362) $2,520 $0 $1,680 50 $3,587 $0 $1,887 $0 $2,540 $0 80 $44 $1,910 ($510) $7,237 $1546 ($11,084) $249 (54,791) $890 ($8,016) ($1,451) (91488) $199 ($7.444 $476 ($1,840 ($98) $768 ($909) $4,495 ($9308) (54200) ($19,500) ($7,200) ($16,100) 9 $0 $4,474 Cash flows from investing activities Plant improvementset) Cash flows from financing activities Dividends paid Sales of common stock Purchase of common stock Cash from long term debt issued Eary retirement of long term debt Retirement of current debt Cash from current debt borrowing Cash from emergency loan 0 $0 $0 $0 $0 $0 $1.500 50 $1,500 $2,500 $0 $11,533 $4832 $0 $813 $0 $0 50 (5867) $0 $2,850 SO $3,000 50 $9,300 80 ($2.867) $7,600 80 SO $0 $17102 ($2,585) $0 $0 ($887) $0 $0 ($887) $0 50 Nel cash from firanding activities $16236 86,742 $2,780 $17,033 $2,133 $13,168 Net change in cash position (86,127) $4,871 (58,271 ) 183,862) (96,707 $1,561 Financial Summary: Balance Sheet Survey Erle $5289 Balance Sheet Survey Cash Accounts Receivable Inventory Total Current Assels Andrews Baldwin $0 $4,871 $7.583 $24718 58.080 5x2251 $17311 50 $5.68 $14779 $20,42 Ferrls $7,6528 56,578 $5.611 $19,817 $14646 $27.799 $9,351 $21,370 Plant and equipment Accumulated Depreciation Total Fixed Assets $25,200 $7800 18,400 ) $10,179) $16,800 $27.621 $24.900 158,980) $15.920 $69.500 ($11287 ) $42213 $28,300 $46200 199 267) $10,307 ) $19,086 535888 Total Assets $49,051 $14901 $70012 $55,710 $3,599 $0 Account Payable Curent Debt Long Term Debt Total Liabilities $6,284 $2,789 $17,102 $0 54,383 $11,785 $27699 $14,504 $3,525 $2.860 $10380 916622 $7,800 $21001 $3,856 SO $17,888 $21,722 $10,480 Common Stock Related Earings Total Pohy $63299915818 $15,029 $14609 $21353 $80427 $17,182 $19.647 558829 $15.919 $18,000 $15.084 $19.870 $24647 $29,970 Total Labilities & Owners' Equity $49051 $14931 $70,012 $10,400 Financial Summary: Income Statement Survey Income Statement Survey Varade Costa Malevel Camp Andrew Baldwin Chester Chester Digby Ele Faris 98,742 $548 84595 $73,457 $450 $5,45 $6205 $23.592 $49,474 $97,471 $97,477 $48251 51.80 $2,520 5160 567 $11011 09 89 $4,589 $14446 09,201 $11,797 80 841 8015 $702 81597 $8,423 88138357 5871 $5,206 $2,885 $1,285 $166 $2,824 (851) $4788 $1,500 $1998 $4,781 $120 ISO 867 $58 (18) $273 $2,8899524 $2,242 2,16 SCARRO Promo, Sales Admin) Other fes Wriedis, TOM Bonuses EBIT miere Shot lem Long term Taxes Profi Sharing Ner Profit Look at the financial statements excerpted from the Foundation FastTrack and answer the following questions, explaining the reasons and justification for your answers. 1) Look at the Cash Flow Statement Survey. a. Which companies got an emergency loan? How much? (4 points) b. For each company you mentioned in (a), explain why it got an emergency loan. (8 points) c. How could each company you mentioned in (a) and (b) Have avoided the emergency loan? (6 points) d. For the rest of the companies (those that did not get an emergency loan) evaluate how well each company is managing its cash by looking at the following: Ending cash position (BS) Net change in cash position (CF) Compare investment with financing (CF) Net Income (CF) Any huge cash outflow/inflow (CF) Compare ending cash balance (BS) with Sales (IS), (is this a good cash buffer?) (24 points) 2) Which company has the largest asset base? How big? (Hint: look at the BS) (2 points) 3) Evaluate the capital structure of the company you picked in (2) above. Calculate the leverage ratio (Assets/Equity) and the percentage of equity to debt in the company's assets. Comment on your findings. (6 points) . . Baldwin Chester Digby Erle Ferris $3,273 $2839 $3,524 $3242 $2,180 Financial Summary:Cash Flow Statement Cash Flow Statement Survey Andrews Cashflows from operating activities Not Income|L088) (5838) Adjustment for non-cash hems: Depreciation $1,880 Extraordinary gans/osses writeoffs Changes in current assets and abilities Acounts payable $3,794 Inventory (824718) Accounts Receivable ($2,280) Net cash from operations ($22,362) $2,520 $0 $1,680 50 $3,587 $0 $1,887 $0 $2,540 $0 80 $44 $1,910 ($510) $7,237 $1546 ($11,084) $249 (54,791) $890 ($8,016) ($1,451) (91488) $199 ($7.444 $476 ($1,840 ($98) $768 ($909) $4,495 ($9308) (54200) ($19,500) ($7,200) ($16,100) 9 $0 $4,474 Cash flows from investing activities Plant improvementset) Cash flows from financing activities Dividends paid Sales of common stock Purchase of common stock Cash from long term debt issued Eary retirement of long term debt Retirement of current debt Cash from current debt borrowing Cash from emergency loan 0 $0 $0 $0 $0 $0 $1.500 50 $1,500 $2,500 $0 $11,533 $4832 $0 $813 $0 $0 50 (5867) $0 $2,850 SO $3,000 50 $9,300 80 ($2.867) $7,600 80 SO $0 $17102 ($2,585) $0 $0 ($887) $0 $0 ($887) $0 50 Nel cash from firanding activities $16236 86,742 $2,780 $17,033 $2,133 $13,168 Net change in cash position (86,127) $4,871 (58,271 ) 183,862) (96,707 $1,561 Financial Summary: Balance Sheet Survey Erle $5289 Balance Sheet Survey Cash Accounts Receivable Inventory Total Current Assels Andrews Baldwin $0 $4,871 $7.583 $24718 58.080 5x2251 $17311 50 $5.68 $14779 $20,42 Ferrls $7,6528 56,578 $5.611 $19,817 $14646 $27.799 $9,351 $21,370 Plant and equipment Accumulated Depreciation Total Fixed Assets $25,200 $7800 18,400 ) $10,179) $16,800 $27.621 $24.900 158,980) $15.920 $69.500 ($11287 ) $42213 $28,300 $46200 199 267) $10,307 ) $19,086 535888 Total Assets $49,051 $14901 $70012 $55,710 $3,599 $0 Account Payable Curent Debt Long Term Debt Total Liabilities $6,284 $2,789 $17,102 $0 54,383 $11,785 $27699 $14,504 $3,525 $2.860 $10380 916622 $7,800 $21001 $3,856 SO $17,888 $21,722 $10,480 Common Stock Related Earings Total Pohy $63299915818 $15,029 $14609 $21353 $80427 $17,182 $19.647 558829 $15.919 $18,000 $15.084 $19.870 $24647 $29,970 Total Labilities & Owners' Equity $49051 $14931 $70,012 $10,400 Financial Summary: Income Statement Survey Income Statement Survey Varade Costa Malevel Camp Andrew Baldwin Chester Chester Digby Ele Faris 98,742 $548 84595 $73,457 $450 $5,45 $6205 $23.592 $49,474 $97,471 $97,477 $48251 51.80 $2,520 5160 567 $11011 09 89 $4,589 $14446 09,201 $11,797 80 841 8015 $702 81597 $8,423 88138357 5871 $5,206 $2,885 $1,285 $166 $2,824 (851) $4788 $1,500 $1998 $4,781 $120 ISO 867 $58 (18) $273 $2,8899524 $2,242 2,16 SCARRO Promo, Sales Admin) Other fes Wriedis, TOM Bonuses EBIT miere Shot lem Long term Taxes Profi Sharing Ner Profit