BALDWIN BICYCLE COMPANY In May 1983‚ Suzanne Leister‚ marketing director of Baldwin Bicycle Company‚ was mulling over the discussion she had had the previous day with Karl Knott‚ a buyer from Hi-Valu Stores. Hi-Valu operated a chain of discount department stores in the North West. Hi-Valu’s sales volume had grown to the extent that it was beginning to add its "own-brand" (also called "private-label") merchandise to the product lines of several of its departments. Mr. Knott‚ Hi-Valu’s buyer for
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would be difficult to predict return due to the uncertainty of customer retention with the implementation of this deal. Q5. What are the major cash flow implications of the Challenger deal? Cash flow is a difficult situation currently for Baldwin. It takes the inventory approximately 125 days to turn and then another 46 days to get paid. This is a very long time. The Challenger deal states that they would pay within 30 days. This would help with the current 46 day AR turnover. The contract
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to accept the order of Hi-Valu Company‚ due to analysis and compare below. Advantages Outstanding profit Assume that Baldwin Company accepted the orders of Hi-Valu Company to make profits. In this condition‚ we should know whether Hi-Valu Company had enough short term assets to cover its short term debt. Therefore‚ we should calculate Working Capital ($) of Baldwin Company: The cost of each finished product in the first year: Materials + labors + variable cost (24.5*40%)=39.8 + 19
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The Village by the Sea is set in a small village called Thul‚ which is 14 kilometres from Bombay. Lila‚ the eldest child among four siblings‚ is thirteen years old‚ yet she already has the maturity of an adult. Her brother Hari‚ twelve‚ is the only person with whom she can share her troubles. Their mother is ill and needs constant care and nursing. Nobody knows exactly what she suffers from but she grows weaker and weaker with each passing day. Their father‚ who has been out of work for months‚ is
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Essay on our changing villages Essay This essay “our changing villages” is for the school and college students to get an idea about this topic. The best results and the richest values of freedom do not lie only in such things as elections‚ panchayats and parliaments‚ but in a new and growing mass-consciousness. Our newly-own has freedom given a new soul of India. Slowly but surely a new social self-knowledge is being born in the new Indian villagers. The old Indian villager was like dumb driven
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Baldwin Cycle Case 1. Relevant Cost: Direct Material $39.8 Direct Labor $19.6 Variable Overhead(@40% of $24.5) $9.8 Total Relevant Costs $69.2 2. 2-months Raw material for 25‚000 bikes @ $38.9 $165‚833 WIP Inventory(1000 @ $69.2) $69‚200 Finished Goods(500 @ $69.2) $34‚600 A/R (30 days) @(25‚000/12*92.29) $192‚270 Total Inventory Costs $461‚904 Relevant Asset Cost (@5.5 %) $25‚405 Total Relevant Asset Cost $487‚309 Interest @ 18% $87‚716 Net Relevant Cost $399‚593 Price Per
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Baldwin Bicycle Company Baldwin Bicycle Company is its own independent bicycle shop that has been in business for almost 40 years. Last year Baldwin had sold 98‚791 bikes which accounted for nearly $10 million in sales for 1982. Suzanne Lesiter is the marketing Vice President of Baldwin and has just been offered a proposition from Karl Knott‚ a buyer from Hi-Valu to possibly start producing bikes for them. Baldwin had never conducted any business with a chain department such as Hi-Valu since it was
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Introduction and Overview Village Volvo was recently opened by two former experienced Volvo dealer mechanics. The owners of Village Volvo focus on provided their customers with custom care service at an affordable price. By providing their customers with a custom care service that is unavailable at other local dealers‚ they differentiate themselves from the competition. Village Volvo has four work bays‚ an office‚ a waiting room‚ and a storage room. In order to provide individual attention
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Village is smaller than a town. There are some small group houses in a rural area in the village. A village is a small group of settlements while a city is a large group of settlements.There are some advantages and disadvantages. Firstly‚ at the village there are green areas‚ animals‚ friendly people. When someone go to a village‚ the village people give warm welcome. People in villages are very helpful. The village people always try to protect their traditional habits and culture. You can
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BALDWIN BICYCLE COMPANY Baldwin Bicycle Company has been a bicycle manufacturer who produced various high quality models. Due to competition in 1981‚ the firm’s sales revenues significantly dropped in the following two consecutive years. In addition‚ it could only operate at 75 percent of the plant’s capacity. In May 1983‚ the firm received a proposed production plan of sporting bicycles‚ named Challenger‚ from Hi-Valu. There would be two types of direct costs associating with the new bicycle
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