Analysis Of PTCL

In the historical balance sheet we can see a very important decrease of the short-term debt, so UGC could also increase this debt. Obtaining cash from the stock market, negotiate an increase of the number of days of the accounts payables, reducing inventory or decreasing the number of days in their accounts receivable could also be very important cash resources. Still, it is difficult to estimate the financial need due to the fact that we cannot forecast the cash from operations.

Further, keeping in view the strong competitive environment and fear of “Clones” by others, Intel is constantly required to look for innovative products, which would need more funds for upfront expenditures. In these situations, large cash positions would help Intel to avoid taking loans from outside, and in turn interest costs, by using its own cash balances. A disadvantage of having large cash position would be that cash has an opportunity cost. In other words, Intel could be forgoing profitable investment opportunities. However looking at the data provided in the case, we can see that the cost of holding cash was small as they yield high returns, above 170 bases points above U.S treasury bills, through investing in securities rated above AA. Further, a cash rich company runs the risk of being careless as there may be reduced pressure on the management team to perform better. Observing Intel’s growing performance over a period of time, it seems that currently it has no such problem. However in future, it may become a cause of concern for the company.

It is a company with revenue of 52.5 M in 2005 with growth 3 % more than 2004.

As a result, holding cash would be essential component of the firm strategy. To develop new products, buy new equipment or expand geographically, firm has to spend money on marketing research, product design, prototype development and so on. Moreover, if a recession hits and the economy start to slow down,

Based on the Exhibit 9A in the case, we can calculate the Source and Use of Funds. As Exhibit 1 suggests, the company require about $4.8 billion during 1984 and 1990. This is basically due to the required new capex during the same period, which will be accumulated to $10.2 billion, and the increase of cash holding, $2.0 billion, as a use of funds and the company can generate funds from operation, only $7.8 billion. Therefore, the company needs to fill the gap by sourcing external finance of about $4.8 billion. This amount will vary depending primarily on two factors; 1) whether MCI can expand market share as forecasted amid the increasing

The wet, crude product was placed into the 50 mL Erlenmeyer flask. Small amounts of CaCl2 were added to dry the solution. The flask was sealed and the mixture was swirled and left to settle. Once

* Taking on debt gives the company the ability to use cash for projects and short term investments.

After carefully reviewing the income statement, balances sheet and cash flow it seems that the company has a negative cash flow for 1998, so even before thinking about obtaining internal and external resources for long term investment, the company must assure resources for their own working capital.

As shown in the ratios chart, working capital has increased by $13M. Maturities of short-term investments and cash flow from operations are projected to be sufficient to sustain the company’s overall financing needs, including capital expenditures. The following corporate strategic plan identifies a project that needs financial backing.

Explain what shareholders would receive in exchange for (a) old common shares, (b) old class B shares, and (c) old shares held in the employee saving plan.

The company makes money through the investments they make in purchases, which is the source of cash and cash equivalents.

| These resources have helped it achieve normal profit (i.e., profit that covers input and capital costs), up until now.

After the initial findings of exploration process and after acquiring the essential authorisations for the mine which includes resource consents and mining permit, the pike board made a decision to carry on developing the mine. In 2007, PRCM started to outsource the project to by offering shares in the firm and assigning 85 million one-dollar shares to more than 5000 investors.

The four components of its financial strategy are steady with this growth objective. Its growth objective is to remain a leading growth company and developing appropriate investment

BBC Pvt. Ltd, is a chemical manufacturing company that was established in 2004. It's registered offices are in Bangalore, and its manufacturing is in Lucknow. At the time of the case BBC is in need of working capital to secure a major contract with Indian Railways. The contract would open doors for long term business. BBC's product manufacturing required minimal fixed assets investment and high quality production. Their product was low cost high quality which