FINANCIAL ANALYSIS AND MANAGEMENT CASE

Guideline:

Based on your reading of the case and your analysis, please think about the following questions:

1. How well is Jones Electrical Distribution (JED) performing? What must the firm do well to succeed?

2. Does this business with $30,000 per year need a bank loan? Why?

3. What caused the increase in AR and inventory balances in 2005 and 2006?

4. Is estimate of a $350,000 line of credit requirement for 2007 accurate?

5. When will JED be able to repay the line of credit?

6. What could JED do to reduce the line of credit needed?

7. What are the implications for JED of accepting the new, larger line of credit?

Try to connect the case to what you learned in the class and the assignments that you did. Now, it is time to move a little further about the cases. Think about the following questions without discussing them in the report. The next question is about your abilities to find good questions for the cases you face. Asking good questions is an important part of finding solutions and offering consultation. "A problem well put is half solved."

8. Could you guess any of the guideline questions above about the case?

9. Did you address any of the questions above when you read and analyzed the case without noticing them?

I do not recommend writing your report like questions and answers, unless you have seen business reports like this. However, within your report, you can imply questions to your audience and then try to come up with some solutions, or ask for more related information required to tackle them.

Attachment:- Case.pdf