Work capital simulation
Working Capital Assignment
This assignment is an individual assignment. Each student is required to complete two runs of the Working Capital Simulation.
The simulation site is https://cb.hbsp.harvard.edu/cbmp/access/20227364 (Cost: $12.50).
Use the attached instructions to get started.
Run 1: Complete the simulation on your own and with a credit limit of 3.2 M. Completion due date: Nov 17.
Run 2: Complete the simulation with the help of my cash management tool and with a credit limit of 3 M. Completion due date: 11/24.
Ten new opportunities will be presented in three phases for students to select. Students are required to select at least one opportunity in each phase.
FIN500 - Working Capital Simulation https://cb.hbsp.harvard.edu/cbmp/access/20227364 Working Capital Simulation: Managing Growth –
Authored By Sandeep Dahiya
Distributed by Harvard Business Publishing
Description:
Acting as the CEO of a small company called Sunflower Nutraceuticals (SNC), students choose to invest in growth and cash-flow improvement opportunities in three phases over 10 simulated years. Each opportunity has a unique financial profile and students must analyze effects on working capital. Examples of opportunities include taking on new customers, capitalizing on supplier discounts, and reducing inventory. Students must understand how the income statement, balance sheet, and statement of cash flows are interconnected and consider the possible effects of each opportunity on the firm's financial position. The company operates on thin margins with a constrained cash position and limited available credit. Students must optimize use of "internal" and external credit as they balance the desire for growth with the need for maintaining liquidity.
Learning Objectives:
Walk the tightrope between growth and illiquidity. Appreciate how attention to cash management techniques is critical to managing a firm effectively. Learn to maximize a firm’s growth opportunities in
This assignment is an individual assignment. Each student is required to complete two runs of the Working Capital Simulation.
The simulation site is https://cb.hbsp.harvard.edu/cbmp/access/20227364 (Cost: $12.50).
Use the attached instructions to get started.
Run 1: Complete the simulation on your own and with a credit limit of 3.2 M. Completion due date: Nov 17.
Run 2: Complete the simulation with the help of my cash management tool and with a credit limit of 3 M. Completion due date: 11/24.
Ten new opportunities will be presented in three phases for students to select. Students are required to select at least one opportunity in each phase.
FIN500 - Working Capital Simulation https://cb.hbsp.harvard.edu/cbmp/access/20227364 Working Capital Simulation: Managing Growth –
Authored By Sandeep Dahiya
Distributed by Harvard Business Publishing
Description:
Acting as the CEO of a small company called Sunflower Nutraceuticals (SNC), students choose to invest in growth and cash-flow improvement opportunities in three phases over 10 simulated years. Each opportunity has a unique financial profile and students must analyze effects on working capital. Examples of opportunities include taking on new customers, capitalizing on supplier discounts, and reducing inventory. Students must understand how the income statement, balance sheet, and statement of cash flows are interconnected and consider the possible effects of each opportunity on the firm's financial position. The company operates on thin margins with a constrained cash position and limited available credit. Students must optimize use of "internal" and external credit as they balance the desire for growth with the need for maintaining liquidity.
Learning Objectives:
Walk the tightrope between growth and illiquidity. Appreciate how attention to cash management techniques is critical to managing a firm effectively. Learn to maximize a firm’s growth opportunities in