Finance Case study
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After reviewing the Polar Sports case please answer the following questions:
1. Which factors should Mr. Weir consider in deciding whether to adopt level production?
Answer using MSWORD and not to exceed one page.
2. Prepare monthly proforma income statements, balance sheets to estimate the amount of funds required and the timing of the needs under level production. Does Polar need more than $4 million to finance level production? Why or why not? You can ignore interest expense and interest income in your forecasts.
Answer by creating EXCEL spread sheets for the monthly income statements and balance sheets.
– Use 2 EXCEL Spread sheets one for inome statements and one for balance sheets
