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Ireland Renovations: Budgeting for Future Growth
內容大綱
In mid-2019, the owner of Ireland Renovations was contemplating the future of his renovation and construction company that operated in London and Middlesex County in Ontario, Canada. The owner’s youngest son was interested in working for the business, but the owner wondered whether the company could afford to hire him. His son had previously worked for the company part-time and had shown an interest in helping his father grow the business. The owner decided to project and analyze cash budgets for fiscal years 2020 and 2021 to determine whether hiring his son would be a feasible option.
學習目標
This case is best suited for an undergraduate course in introductory managerial accounting or finance. Students will need to understand basic business analytical tools and the mechanics of building projected cash budgets. After working through the case and assignment questions, students will be able to<ul><li>analyze the trends in an industry and determine how these trends might affect the future of business;</li><li>assess a company’s corporate capabilities;</li><li>qualitatively evaluate the effects of adding a full-time position and adjusting the customer payment structure; and</li><li>project two years of cash budgets that include the addition of a full-time position and adjustments to the customer payment structure.