Simulation Finance
Phase 2: 2016 - 2018 Synopsis
You selected Pursue Big-Box Distribution, Expand Online Presence, and Develop a Private-Label Product and declined no opportunities . Below is a synopsis of how each opportunity affected your Working Capital and Cash Flow.
Pursue Big-Box Distribution
Taking on Mega- Mart Inc. as a customer resulted in impressive top-line growth but the company's EBIT margin declined.
Revenue'16'17'1805K10K $7,100
Opportunity EBIT'16'17'180250500
Opportunity Free Cash Flow'16'17'180-2K-1K -$241
Expand Online Presence
Expanding SNC's presence in online retail increased sales with little negative impact on working capital balances.
Revenue'16'17'1802K4K
Opportunity EBIT'16'17'180100200300
Opportunity Free Cash Flow'16'17'180-400-200200
Develop a Private-Label Product
Selling the private label product to Fountain of Youth Spas increased SNC's EBIT margin, only modestly resulting in increased accounts receivable and inventory balances.
Revenue'16'17'1801K2K
Opportunity EBIT'16'17'180250500
Opportunity Free Cash Flow'16'17'180-500-250250
Phase 1: 2013 - 2015 Synopsis
You selected Acquire a New Customer, and Leverage Supplier Discount and declined Tighten Accounts Receivable, and Drop Poorly Selling Products . Below is a synopsis of how each opportunity affected your Working Capital and Cash Flow.
Acquire a New Customer
Taking on Atlantic Wellness as a new customer increased sales significantly but resulted in higher accounts receivable and inventory balances.
Revenue'13'14'1503K5K
Opportunity EBIT'13'14'150200400
Opportunity Free Cash Flow'13'14'150-2K-1K1K
Leverage Supplier Discount
Selling its herbal nutraceutical line to Nutrilife enabled meaningful top-line growth. While this growth increased both the accounts receivable and inventory balances, the drain on cash flow was partially offset by increased EBIT due to the favorable contract negotiated with Ayurveda Naturals.
Revenue'13'14'1501K2K
Opportunity EBIT'13'14'150100200
You selected Pursue Big-Box Distribution, Expand Online Presence, and Develop a Private-Label Product and declined no opportunities . Below is a synopsis of how each opportunity affected your Working Capital and Cash Flow.
Pursue Big-Box Distribution
Taking on Mega- Mart Inc. as a customer resulted in impressive top-line growth but the company's EBIT margin declined.
Revenue'16'17'1805K10K $7,100
Opportunity EBIT'16'17'180250500
Opportunity Free Cash Flow'16'17'180-2K-1K -$241
Expand Online Presence
Expanding SNC's presence in online retail increased sales with little negative impact on working capital balances.
Revenue'16'17'1802K4K
Opportunity EBIT'16'17'180100200300
Opportunity Free Cash Flow'16'17'180-400-200200
Develop a Private-Label Product
Selling the private label product to Fountain of Youth Spas increased SNC's EBIT margin, only modestly resulting in increased accounts receivable and inventory balances.
Revenue'16'17'1801K2K
Opportunity EBIT'16'17'180250500
Opportunity Free Cash Flow'16'17'180-500-250250
Phase 1: 2013 - 2015 Synopsis
You selected Acquire a New Customer, and Leverage Supplier Discount and declined Tighten Accounts Receivable, and Drop Poorly Selling Products . Below is a synopsis of how each opportunity affected your Working Capital and Cash Flow.
Acquire a New Customer
Taking on Atlantic Wellness as a new customer increased sales significantly but resulted in higher accounts receivable and inventory balances.
Revenue'13'14'1503K5K
Opportunity EBIT'13'14'150200400
Opportunity Free Cash Flow'13'14'150-2K-1K1K
Leverage Supplier Discount
Selling its herbal nutraceutical line to Nutrilife enabled meaningful top-line growth. While this growth increased both the accounts receivable and inventory balances, the drain on cash flow was partially offset by increased EBIT due to the favorable contract negotiated with Ayurveda Naturals.
Revenue'13'14'1501K2K
Opportunity EBIT'13'14'150100200