Kota Fiber Case

1.Kota is a case of a dysfunctional financial fancy, which is quality forward of sync with the firms business excogitation: flying sales growth; seasonal sales; required on the spot tax pay backments; limited fix permit for extension lines. 2.Therefore, we study and analyze the structure of the financial plan to grade its pathologies and inadequacies. We use ratios, cash budget and cash fertilise compendium to do that (i.e., the tools of financial analysis and planning). (Read Note) 3.Pay attention to how you harbinger the main caper. In this case all is related to the marge requirement to clean up the credit line. Inability to do so somehow will unhinge Kotas operations. therefore we need to review the financial plan (pro forma statements) to verify whether it cleans up the bank loan in 2001 and if not to devise a plan to correct that. Hence, the Main Problem/Decision is: Does the shoot financial plan clean up the bank debt? If not, what should we do to that effect? 4.Issues for analysis: These argon the steps (blueprint of action) that will ensure you answers to the Main Problem/Decision. You arrive at listed enough field of studys whole if you are convinced that analysis of (and answers to) issues will ENABLE you to reap a Final Decision that gives resolution to the Main Problem. 5.

later you have stated the Issues for Analysis, then you analyze each issue in depth. 6.Once all the steps/issues have been analyzed, you determine what they point for your decision or solution to the problem. 7.No matter what your Main Problem is, your case analysis wil l still be evaluated with mention to how we! ll you have done the analysis that is book to that Problem. 8.Distinguish betwixt Profits and Cash Flows or positiveness and Liquidity. A ships company may be profitable and except fail for insufficiency of cash. Thats Kotas problem. Profits (as expound of revenues) are set in accounts receivable or inventory, they cannot be used to pay bills. 9.Constructing financial ratios or doing financial statement...If you want to get a full essay, order it on our website: BestEssayCheap.com

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