Teaching note for product 9B13N009.

A retiring professor must establish a comprehensive financial plan that enables him and his wife to achieve their target lifestyle. In preparing this plan, they devise a budget and a travel agenda and then determine whether they can achieve these outlays and, if so, what risks are involved and how they might manage these risks. They must consider the optimal mix of debt and equity, domestic and foreign currencies, and short- and long-term debt is .....more

Young Man Inc., a new clothing retail store, has completed its first year of operations effective May 31, 2012. The owner is anxious to know how the company has performed financially and to assess this performance. Based on the case information, the first fiscal year's financial statements (income statement and statement of financial position) must be prepared along with an assessment of performance.

Everything Rattan has approached its bank for a loan. The bank needs to analyze the loan request and prepare a collateral analysis for the situation.

The Good Night Motel is considering offering special pricing for a two-day church convention event involving 20 rooms. This requires the owner to perform contribution analysis, sensitivity analysis, and some qualitative analysis.

Teaching note for product 9B12N008.

The chief executive officer of a financial institution must decide whether or not to grant a $3 million loan to an investor in mutual funds. The financial institution makes loans of $2 for every $1 invested in mutual funds to qualified investors. The issue here is to determine whether the risks associated with this loan application justify the investment. The case involves assessing the various risks associated with the loan. These include the credit .....more

The vice-president of operations must submit a valuation and recommendation to expand his plant to handle a doubling of sales over the next three years. Students will have to understand the process review for capital allocation in this large corporation in order to make their recommendation, as well as complete a discounted cash flow.

The owner of a lumber and building supply business is interested in finding out how much the business is worth and how to go about selling it. The business is currently enjoying considerable success and earnings are at record levels. She must decide which valuation method to choose.

The senior officers of a national office supplies manufacturer and distributor are at odds over a slow paying, and perhaps insolvent, major distributor, and what the options are to collect the account and maintain sales in the region.