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Cash Flow Management and Financial Decision-Making: A Case Study of Chester & Wayne - Document preview page 1

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Cash Flow Management and Financial Decision-Making: A Case Study of Chester & Wayne

Case study on cash flow management and strategic financial decisions.

Benjamin Fisher
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Cash Flow Management and Financial Decision-Making: A Case Study of Chester & Wayne - Page 1 preview imageGlaser1Cash Flow Management and Financial Decision-Making: A Case Study ofChester & WayneChester & WayneRobert BacaBUS630:Managerial AccountingProf.Anthony PerezSeptember 23rd2013Based on Chester & Wayne's cash budget, analyze the potential impact of increasing inventorylevels to 30% and 40% of next quarter’s sales on the company’s cash flow and borrowingrequirements. Additionally, evaluate the effects of discontinuing the 2% cash discount versusincreasing it to 3%. What would be the financial implications of these decisions, and whatrecommendation would you give? Provide your answer in 5-6 lines.
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