Case Study: Blue Falcon

The Cash Flow Statement will show a positive annual cash flow growth of 46%, 91%, 80%, and 75% from year two to year five of operation. The growth can be found in Appendix G. Blue Falcon will have $9,500 in net of investing activities on its first year of operation. At the end of year five of operation, the company projects a cumulative cash of $758,386. Blue Falcon will start to share the cash distribution to each member on year two until year five base on the percentage of net income. The Cash Distribution percentage will start with 40%, 42.5%, 54% and 56%. The reserve cash will be used to fund future projects.
Blue Falcon will make a payment of $14,425 on their long term debt. This payment is projected to make the company long term debt