Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Financial Management Expert

We need to have done some exploration work on all of the major projects for inclusion in our prospectus, but of our $4m we need at least $1m in the bank to pay for all the listing expenses and to ensure we have a reasonable amount of cash in case anything goes wrong. This means that $3m can be spent on all activities in the lead up to the listing. We therefore need a cash budget to ensure we spend appropriately what we have. 

Revenue

Our only source of revenue will be the interest on the money in the bank, so please make sure this is well invested - and safely. We will, of course, need this included in the budget.

Costs

Maintaining our Perth office, including paying the accounts clerk, costs about $15,000 per month. Directors' fees total $30,000 per year. Directors normally fly business class to and from Mali and Niger so some flights to and from should be included, as should reasonable hotel, vehicle and meal costs while there. We believe that at least 10 visits, each of at least a week, will be needed between all the directors to adequately oversee operations there.

Conditions in Wiluna will be much better, so our geologist will need to visit three times and one other director only once, also for a week each, over the period. Please include a reasonable estimate of these costs in the budget, and let us know which airline we should be using for each of these. These trips will be spaced out evenly over the next 24 months. The remainder of the money will form our exploration budget, which you do not need to divide up by purpose (that is for our geologist to do), but will start to be spent from October onwards. Keep in mind that working in the Sahara might be seasonal, so the costs are likely to be much lower when we cannot work.

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M9526386

Have any Question?


Related Questions in Financial Management

The following examination is due no later than 9 am monday

The following examination is due no later than 9 AM Monday, October 22nd. You are to email me the exam in an XLSX file named after yourself and containing your section. For example, if your name is Leslie King, the file ...

Project risk finance and monitoring assignment -

Project risk, finance, and monitoring Assignment - Report Assessment Description - In this assessment in Part A students are asked to imagine they have been engaged by an external client to develop a report on key aspect ...

You have owned and operated a successful brick-and-mortar

You have owned and operated a successful brick-and-mortar business for several years. Due to increased competition from other retailers, you have decided to expand your operations to sell your products via the Internet. ...

Assignmentimagine you are the owner of a small business in

Assignment Imagine you are the owner of a small business in your hometown. Briefly describe your company in 3 to 5 sentences. Discuss the following in 525 to 700 words: Define the roles you play as a small business owner ...

The investment logic for sustainabilitywatch the investment

The Investment Logic for Sustainability Watch the Investment Logic for Sustainability video. Then perform a few internet searches on terms such as the following: Sustainable funds Socially responsible investing ESG Envir ...

Capital structure and tax shields go to yahoo finances

"Capital Structure and Tax Shields" Go to Yahoo! Finance's Website, and select a publicly traded company which interests you. Determine the company's symbol (i.e., Apple = APPL) and navigate to the "SEC Filings" link on ...

Assignmentthe purpose of this assignment is to allow you

Assignment The purpose of this assignment is to allow you the chance to evaluate the role of social responsibility in society. After you complete this assignment, you will analyze a written article, be able to ascertain ...

Topic dash dietthere are many different diets weight loss

Topic: DASH DIET There are many different diets, weight loss treatments, and medications that proclaim to be the panacea for weight loss. For this discussion forum, you will be researching a diet or treatment approach fo ...

Respond to the following questionas part of the financial

Respond to the following question: As part of the financial planning process, a common practice in the corporate finance world is restructuring through the process of mergers and acquisitions (M&A). It seems that on a re ...

Hospitality financial management hfm assignment - cvp

Hospitality Financial Management (HFM) Assignment - CVP Analysis You are assisting management consider different cost and pricing strategies. Consider the following data and report to management your findings. 1. The coc ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As