Question: Consider the following discussion between two analysts regarding estimating financing requirements for their company for the upcoming year. Analyst A: Look, here are the numbers.
Consider the following discussion between two analysts regarding estimating financing requirements for their company for the upcoming year.
Analyst A: Look, here are the numbers. We need $ million for new plant and equipment investment. Also we need $ million for replacing some of our older equipment. The $ million is of course, a netted number that reflects any salvage of older equipment that may be possible. Altogether, our total financing requirement is $ million.
Analyst B: I think there are a couple of other things we ought to consider before we can decide what our total financing needs are.
Analyst A: Like what?
Analyst B: Well, we should consider.......
Finish Bs answer.
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