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Think about the factors involved in each of the situations below. Solve the problems by applying the concepts in Chapter 18. Where can your firm find financing?

Write a response to only one of the prompts.

Your company needs a new copy machine quickly. The high-volume, multifeatured model you want costs $3,000, but your small business doesnt have that much cash on hand right now and doesnt want to borrow at this time.

Your firm has a large payment that needs to be made by next week. The company doesnt have the cash available at this time. You already have large outstanding loans, so you dont want to go to the bank. Your stockholders dont want you to sell more stock because it would dilute their control. You cant sell bonds by next week. Your inventory is small but your accounts receivable are large. Your firm sells everything on a 30-day open account, and most of your customers pay on time.

You own a dry cleaning store near an apartment complex. The store attracts a growing number of young patrons who find it convenient to drop off their garments on the way back and forth to work. In fact, business is doing so well, your tiny store is starting to feel cramped. Your next-door neighbor, a donut shop, has just offered to sell you his business and real estate for $100,000. You believe that the location and expansion potential are great, but you dont have the cash at the moment.

Prepare your initial discussion by providing a detailed response with at least three paragraphs. A paragraph consists of 4 to 6 sentences.

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