would be difficult to predict return due to the uncertainty of customer retention with the implementation of this deal. Q5. What are the major cash flow implications of the Challenger deal? Cash flow is a difficult situation currently for Baldwin. It takes the inventory approximately 125 days to turn and then another 46 days to get paid. This is a very long time. The Challenger deal states that they would pay within 30 days. This would help with the current 46 day AR turnover. The contract
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to accept the order of Hi-Valu Company‚ due to analysis and compare below. Advantages Outstanding profit Assume that Baldwin Company accepted the orders of Hi-Valu Company to make profits. In this condition‚ we should know whether Hi-Valu Company had enough short term assets to cover its short term debt. Therefore‚ we should calculate Working Capital ($) of Baldwin Company: The cost of each finished product in the first year: Materials + labors + variable cost (24.5*40%)=39.8 + 19
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Chester Company Our Mission To serve all stakeholders‚ customers‚ and employees while becoming a global leader in the digital market. Vision At Chester Company‚ we are striving to become a broad cost leader in the electronic sensor industry. We are dedicated to offering a diversified product line at affordable prices to create the best value in the industry. Strategic Objectives In order to gain strategic advantage through cost leadership we will be focusing on multiple core competencies
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Baldwin Cycle Case 1. Relevant Cost: Direct Material $39.8 Direct Labor $19.6 Variable Overhead(@40% of $24.5) $9.8 Total Relevant Costs $69.2 2. 2-months Raw material for 25‚000 bikes @ $38.9 $165‚833 WIP Inventory(1000 @ $69.2) $69‚200 Finished Goods(500 @ $69.2) $34‚600 A/R (30 days) @(25‚000/12*92.29) $192‚270 Total Inventory Costs $461‚904 Relevant Asset Cost (@5.5 %) $25‚405 Total Relevant Asset Cost $487‚309 Interest @ 18% $87‚716 Net Relevant Cost $399‚593 Price Per
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Baldwin Bicycle Company Baldwin Bicycle Company is its own independent bicycle shop that has been in business for almost 40 years. Last year Baldwin had sold 98‚791 bikes which accounted for nearly $10 million in sales for 1982. Suzanne Lesiter is the marketing Vice President of Baldwin and has just been offered a proposition from Karl Knott‚ a buyer from Hi-Valu to possibly start producing bikes for them. Baldwin had never conducted any business with a chain department such as Hi-Valu since it was
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Deborah was judged and marginalized as an outsider due to the fact that white men took advantage of her. Baldwin does an exceptional job of explaining to the reader the stigmas that Deborah had to face from society after everyone knew that she had been raped. Baldwin explains that black men were afraid to approach her and believed that she had been choked with the white men’s milk (Baldwin‚ 121). Baldwin further critiques this notion of the pure women by
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BALDWIN BICYCLE COMPANY Baldwin Bicycle Company has been a bicycle manufacturer who produced various high quality models. Due to competition in 1981‚ the firm’s sales revenues significantly dropped in the following two consecutive years. In addition‚ it could only operate at 75 percent of the plant’s capacity. In May 1983‚ the firm received a proposed production plan of sporting bicycles‚ named Challenger‚ from Hi-Valu. There would be two types of direct costs associating with the new bicycle
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BB 1 Baldwin Bicycle Company Objectives of Session 1. Practice in applying a comprehensive financial analysis framework to a “new business” opportunity. 2. Blending strategic marketing analysis and financial analysis. 3. Blending corporate strategy with marketing strategy This case is an excellent one for contrasting the conventional framework (Relevant Cost Analysis) with the Superior (?) framework (SCM) BB 2 1973—15 million bikes sold “bicycle boom” (Baldwin 135‚000) 1982—10 million bikes sold
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response to Baldwin’s stranger in the village option 2 James Baldwin paints a picture of the struggle between white men and black men. Baldwin points out that‚ “the white man prefers to keep the black man at a certain human remove because it is easier for him thus to preserve his simplicity and avoid being called to account for crimes committed by his forefathers‚ or his neighbors” (p2). At this point Baldwin was contemplating on the idea that “the white man never recognize a black man as an
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city’s four water treatment facilities‚ which are among the 10 largest in the US‚ and were built in 1856; over 500 million gallons of water are pumped to Cleveland residents daily. In the following paper I attempt to provide with an overview of the Baldwin Water Work Plant Enhancement Program (PEP) (one of the four water treatment facilities) scope‚ time plan‚ costs‚ and objectives; describe the program’s life cycle stages required to execute all projects involved; indentify and analyze the possible
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