Accounting Case Study Assignment

Running head: ACCOUNTING CASE STUDY ASSIGNMENT
Accounting case study assignment
Name of the Student:
Name of the University:
Author’s Note:

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ACCOUNTING CASE STUDY ASSIGNMENT
Executive summary
The study sheds light on the financial planning for starting a new store as the company’s
expansion plan. The study identifies the financial resources for generating capital to start off
the store. Further the study identifies the business opportunity through analysing the
Australian retail and apparel market. This identifies the business opportunity through
identifying the product’s capability and the USP. However the study also finds the rationality
into the business process and into the idea of starting off the store through explaining the
profitability into the forecasted period. However the rationality into the fund acquisition has
been described through evaluating the various capital resource options. Lastly the
recommendation has been made depending the judgement and the choice of capital resources.
The decision has been made depending the analysis of advantage of available resource.

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ACCOUNTING CASE STUDY ASSIGNMENT
Table of Contents
Introduction................................................................................................................................3
Report Background....................................................................................................................3
Business opportunity and rationality..........................................................................................4
Product analysis.....................................................................................................................4
Market analysis......................................................................................................................5
Marketing strategy.................................................................................................................6
Operational strategy...................................................................................................................8
Rationality..................................................................................................................................8
Financial plan.........................................................................................................................8
Fund resources.......................................................................................................................8
Compression of loan capital and venture capital.................................................................10
Recommendation & rationality for the fund resource..............................................................12
Conclusion................................................................................................................................13
References................................................................................................................................14

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ACCOUNTING CASE STUDY ASSIGNMENT
Introduction
A company or a business entity expands into their business life through following
different strategies for expanding their business. The expansion strategy depends on the
business process that the company is having and the amount of liquidity position is the
company is associated with. This means the company invests more with the increase in
available cash balance into the company’s hand. However, the cash balance can be checked
through identifying the periodical cash flow. Therefore analysis of the cash flow statement is
necessary while searching for an investment opportunity or investment for expansion. Hence,
the report identifies an investment opportunity of a previously established company through
analysing the previous year’s cash flow statement. The cash flow statement has been analysed
for developing a business plan depending on expansion through a new store open by the
company. The report identifies the business opportunity through launching a new product
into the competitive market in Australia. The study identifies the opportunity through
analysing the market and industry in Australia retail segment. Further, the source of finance
has been identified into this report. However analysing different sources of finances a
recommendation has been formulated as to arrange the capital to start off the store.
Report Background
The company has assumed to be into the health product manufacturing industry where
their team of scientist and doctors are constantly working for the betterment of their clients.
The company has been into the health and medical industry since 10 year however now they
have planned to open a clothing store which would provide the facility to buy clothes that are
unique in nature. These means the company manufactures and sales cloths which would
provide high comfort to their customers compared to the other brands. With this innovative
idea the company plans to sell their product initially in the Australian market. The company
plans to use Smart skin fabric for bringing comfort into their products.