Please Answer Question 1, 10,11,12

The questions are in the first page and the companies information starts at page 2(labeled 1-7.)

Look at the accompanying FastTrack, which shows the results for Round1 for a Foundation industry. Answer the following questions, explaining the reasons and justification for your answers. 1) Which company had the biggest difference between actual and potential market share in the Low Tech segment? (Look at pages 5 & 7) 2) Why did this difference happen? In other words, is the difference a result of stock-outs and therefore lost sales? Or is the difference due to selling more than the company's fair share? 3) Calculate the quantity (in units) of lost sales/extra sales. 4) How could the company you named in Q(1) have avoided this situation? 5) Which company is selling the top product (in terms of customer appeal) in the Low tech segment? What is the product's name? 6) What was the product's actual market share in 2016 (Rd1)? 7) What was the product's potential market share in 2016 (Rd 1)? 8) What is the product's potential market share in the beginning of next year 2017 (Rd 2)? Show your calculations. 9) Why is the answer of Q (8) different from the answer of Q(7)? Explain. 10) How many products do you expect to find in the Low Tech segment in 2017 (Rd2)? 11) If all the products in the Low Tech Segment are equally attractive to the customers, what would the market share of each product be in 2017 (Rd2)? 12) Follow the steps explained in class and calculate a sales forecast for product Able in the Low Tech segment in 2017. Each step is tackled by one of the following questions: a) Set appropriate assumptions for what you expect company Andrews to do with product Able's design and marketing in 2017. Set appropriate assumptions b) Forecast the expected Low Tech market share for Able in 2017. Calculate and show the steps for obtaining your Low Tech sales forecast for Able in Foundation Round: 1 Dec. 31, 2016 FastTrack F71143 Baldwin Andrews Iman Seoudi Chester Digby Erie Ferris Selected Financial Statistics Baldwin 5.0% Andrews -0.6% 1.36 -0.8% Chester 5.7% 1.44 8.3% Digby 6.9% 1.65 11.4% Erie 4.2% 1.43 6.0% Ferris 7.7% 1.78 13.7% 1.62 8.1% 1.9 1.9 1.8 1.8 1.9 1.9 15.3% ROS Asset Turnover ROA Leverage (Assets/Equity) ROE RO Emergency Loan Sales sale EBIT Profits Cumulative Profit SG&A / Sales Contrib. Margin % -1.6% $0 $43,981,385 $902,601 15.4% $0 $49,882,292 $5,115,505 $2,489,851 $4,983,557 9.2% 22.0% 21.0% $0 $51,224,159 $6,724,491 $3,527,743 $6,021,448 9.6% 25.0% $0 $42,124,770 $4,989, 151 $2,417,575 $4.911,281 7.3% 22.9% 11.3% $0 $40,563,855 $3,867,773 $1,703,257 $4,196,963 7.2% 20.7% 26.3% $0 $44,798,944 $6,401,298 $3,440,776 $5,934,482 9.7% 26.5% ($270,876) $2,222,830 15.4% 20.4% Percent of Sales F71143 $ Market Share F71143 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0 % Var Costs Depr O SGA Other Profit 18.3 % Andrews 16.14% Baldwin Chester 15.45 % Digby 18.79% Erie 14.88 Ferris 16.44 % Andrews Baldwin Chester Digby Erie Femis FOUNDATION FAST TRACK Page 1 Foundation Stock & Bonds Fast Track F71143 Round: 1 Dec. 31, 2016 Stock Market Summary Company Close Shares Book Value EPS Yield P/E Andrews Baldwin Chester Digby Erie Ferris $9.76 $14.39 $14.25 $16.43 $12.86 $16.30 Change ($1.41) $3.22 $3.09 $5.27 $1.69 $5.13 2,400,000 2.076,077 2,051,004 2,036,677 2,051,004 2,000,000 MarketCap ($M) $23 $30 $29 $33 $26 $33 $7.10 $7.80 $7.72 $8.24 $7.38 $6,55 (S0.11) $1.20 $1.18 $1.73 $0.83 $1.72 Dividend $0.00 $0.00 $0.00 $0.00 $0.00 $1.60 0.0% 0.0% 0.0% 0.0% 0.0% 9.8% -87.2 12.0 12.1 9.5 15.5 9.5 Closing Stock Price F71143 $35 $30 $25 Andrews Baldwin Chester Digby Erie Ferris $20 $16 $10 96 10 2015 2016 2017 2018 2019 2020 2021 2022 2023 Series# Face Yield Series# Face Yield Close$ S&P Company Andrews 11.0S2017 12.0S2019 13.0S2021 10.0S2026 $866.667 $1,733,333 $2,600,000 $2,480,000 11.0% 11.7% 12.1% 10.6% 11.0S2017 12.0S2019 13.0S2021 10.082026 $866,667 $1,733,333 $2,600,000 $2,287,212 11.0% 11.7% 12.0% 10.5% 100.18 102.94 108.17 95.25 BB BB BB BB Baldwin Bond Market Summary Close$ S&P Company Digby 100.00 B 102.44 B 107.39 B 94.11 B Erie 100.00 B 102.44 B 107.39 B 94.11 B Ferris 100.18 BB 102.94 BB 108.17 BB 95.25 BB 11.0S2017 12.0S2019 13.0S2021 10.0S2026 $866,667 $1,733,333 $2,600,000 $2,480,000 11.0% 11.7% 12.1% 10.6% 11.0S2017 12.0S2019 13.0S2021 10.0S2026 $866,667 $1,733,333 $2,600,000 $2.361,878 11.0% 11.7% 12.1% 10,6% 100.09 102.69 107.78 94.68 BB BB BB BB Chester 11.0S2017 12.0S2019 13.0S2021 10.0S2026 $866,667 $1,733.333 $2,600,000 $2,361,878 11.0% 11.7% 12.0% 10.5% 11.0S2017 12.0S2019 13.0S2021 10.0S2026 $866,667 $1,733.333 $2,600,000 $420,545 11.0% 11.7% 12.1% 10.6% 100.00 102.44 107.39 94.11 B B B B Next Year's Prime Rate 7.00% FOUNDATIONS FAST TRACK Page 2 Foundation Fast Track F71143 Round: 1 Dec. 31, 2016 Andrews Baldwin Chester Digby Erie Ferris ($271) $2,490 $2,418 $3,528 $1,703 $3,441 Financial Summary Cash Flow Statement Survey CashFlows from operating activities Net Income(Loss) Adjustment for non-cash items: Depreciation Extraordinary gains/losses/writeoffs Changes in current assets and liablilities Acounts payable Inventory Accounts Receivable Net cash from operations $960 $0 $1,064 $0 $1,426 $0 $1,020 $0 $1,426 $0 $1,133 $0 ($836) ($170) $2,352 ($3,876) ($1,005) $300 $307 ($746) $3,415 ($657) $166 ($109) $3,244 ($131) $222 $801 (5857) $4,714 ($161) ($144) ($329) $3,941 $19 $2.182 ($6,920) ($6,925) ($6,995) ($6,500) ($6,995) ($2,600) Cash flows from investing activities Plant improvements(net) Cash flows from financing activities Dividends paid Sales of common stock Purchase of common stock Cash from long term debt issued Early retirement of long term debt Retirement of current debt Cash from current debt borrowing Cash from emergency loan $0 $4,467 $0 $2,480 $0 $0 $5,000 $0 $0 $850 $0 $2,480 $0 $0 $3,691 $0 $0 $570 $0 $2,362 $0 $0 $3,679 $0 $0 $410 $0 $2,287 $0 $0 $3,679 $0 $0 $570 $0 $2,362 $0 $0 $3,679 $0 ($3,195) $0 $0 $421 $0 $0 $3,679 $0 Net cash from financing activities $11,947 $7,021 $6,610 $6,376 $6,610 $905 Net change in cash position Balance Sheet Survey Cash Accounts Receivable Inventory Total Current Assets $4,022 Andrews $9,624 $7,230 $0 $3,510 Baldwin $9,112 $4,100 $2,045 $15,257 $2,859 Chester $8,461 $3,462 $2,186 $14,109 $4,590 Digby $10.191 $4,210 $1,551 $15,953 $1,798 Erle $7.399 $3,334 $2.483 $13,216 $2,246 Ferris $7.847 $3,682 $2,496 $14,025 $16,854 Plant and equipment Accumulated Depreciation Total Fixed Assets $21,320 ($5,760) $15,560 $21,325 ($5,864) $15,461 $21,395 ($6,226) $15,168 $20,900 ($5,820) $15.080 $21,395 ($6,226) $15,168 $17,000 ($5,933) $11,067 Total Assets $32,414 $30.718 $29,278 $31,033 $28.385 $25,092 Account Payable CurrentDebt Long Term Debt Total Liabilities $2,684 $5,000 $7,680 $15,364 $3,154 $3,691 $7,680 $14,525 $2,196 $3,679 $7,562 $13,437 $3,076 $3,679 $7,487 $14,242 $2,017 $3,679 $7,562 $13,258 $2,693 $3,679 $5,621 $11,992 Common Stock Retained Earnings Total Equity $6.790 $10.260 $17,050 $3,173 $13,020 $16,193 $2,893 $12,948 $15,841 $2,733 $14,058 $16,791 $2,893 $12,234 $15,127 $2,323 $10.777 $13,100 Total Liabilities & Owners" Equity $32,414 $30.718 $29,278 $31,033 $28,385 $25,092 Income Statement Survey Sales Variable Costs(Labor Material,Carry) Depreciation SGA(R&D Promo, Sales Admin) Other(Fees,Writeoffs, TQM, Bonuses) EBIT Interest(Short term, Long term) Taxes Profit Sharing Net Profit Andrews $43,981 $35,005 $960 $6,767 $347 $903 $1,319 ($146) $0 ($271) Baldwin $49,882 $38,922 $1,064 $4,614 $166 $5,116 $1,207 $1,368 $51 $2,490 Chester $42,125 $32,489 $1,426 $3,073 $147 $4,989 $1,194 $1,328 $49 $2,418 Digby $51.224 $38,409 $1,020 $4,936 $135 $6,724 $1,186 $1,938 $72 $3,528 Erie $40,564 $32,184 $1,426 $2.940 $147 $3,868 $1,194 $936 $35 $1,703 Ferris $44,799 $32.917 $1,133 $4,326 $21 $6,401 $1,000 $1,891 $70 $3,441 FOUNDATION FAST TRACK Page 3 Foundation Production Analysis Fast Track F71143 Round: 1 Dec. 31, 2016 Production Vs. Capacity F71143 Andrews Baldwin Chester Digby Erie Femis 0 100 200 300 400 500 800 700 800 900 1.000 1.100 1.200 1,300 1,400 Production Capacity Units Primary Segment Low Sold Name Able Awsom Away Apple Unit Inven tory 0 0 0 0 Revision Date 1/29/2016 7/31/2017 2/27/2017 8/24/2017 Age Pfmn Size Dec.31 MTBF MTBF Coord Coord Coord Price 4.1 19000 6.4 13.6 $32.00 0.0 0 0.0 0.0 $0.00 0.0 0 0.0 0.0 $0.00 0.0 0 0.0 0.0 $0.00 1,374 0 0 0 Material Labor Cost Cost $14.13 $10.60 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 Contr. Marg. 20% 0% 2nd Shift & Over- time 63% 0% 0% 0% Auto mation Next Round 3.0 1.0 2.0 1.0 Capacity Next Plant Round Utiliz. 800 161% 150 0% 280 0% 150 0% 0% 0% Low 849 186% Baker Bold 1,493 0 79 0 3/11/2016 5/13/2017 2.5 19800 0.0 0 6.4 0.0 13.8 $33,40 0.0 $0.00 $14.16 $10.95 $0.00 $0.00 22% 0% 88% 0% 3.2 3.0 298 0% Cake Low 1,292 88 7/22/2016 2.3 18250 5.7 14.2 $32.60 $12.50 $10.56 23% 63% 4.8 849 162% Low Daze Dabble 1,464 0 59 0 3/15/2016 5/9/2017 2.4 0.0 20600 0 6.1 0.0 13.4 $35.00 0.0 $0.00 $14.52 $10.88 $0.00 $0.00 25% 0% 81% 0% 3.0 2.5 850 179% 350 0% Eat Low 1,282 100 7/27/2016 2.3 17500 6.0 14.4 $31.65 $12.40 $10.54 21% 63% 4.B 849 162% Fast Low 1.231 94 10/20/2016 2.1 21500 7.6 12.7 $36.40 $17.15 $10.50 27% 56% 3.5 850 155% FOUNDATION FAST TRACK Page 4 Foundation Low Tech Segment Analysis Fast Track F71143 Round: 1 Dec. 31, 2016 Accessibility F71143 Low Tech Low Tech Statistics Total Industry Unit Demand Actual Industry Unit Sales Segment % of Total Industry 5,544 Andrews 5,544 68.1% Baldwin Chester Digby Erie Femis Next Year's Segment Growth Rate 10.0% Low Tech Customer Buying Criteria Expectations Importance 1. Price $15.00 - 35.00 41% 2. Age Ideal Age = 3.0 29% 3. Reliability MTBF 14000-20000 21% 4. Ideal Position Pfmn 5.3 Size 14.7 9% Perceptual Map for Low Tech Perceptual map (at end of this year) 20 0 % 20% 40% 60% 80 % 100% Actual vs Potential Market Share 2016 F71143 Low Tech 18 16 14 20% 18% 16% 14% 12% 10% 8% 12 Size 10 8 6% 4% 6 2% 0% 4 2 Ferris 0 0 2 4 6 8 10 12 14 16 18 20 Performance Actual Potential Top Products in Low Tech Segment Cust. Dec. List Stock Out YES Pfmn Size Coord Coord Age Dec. 31 4.10 Cust. Survey 19 6.4 13.6 Name Able Baker Daze Cake Market Share 18% 18% 17% 17% 17% Units Sold to Revision Seg Date 1,003 1/29/2016 999 3/11/2016 946 3/15/2016 938 7/22/2016 927 7/27/2016 730 10/20/2016 6.4 13.8 20 2.45 2.45 Cust. Sales Access- Budget ibility $1,500 42% $1,300 39% $1,450 41% $925 34% $850 33% $1,275 36% Promo Aware- Budget ness $1,500 73% $1,300 67% $1,450 72% $925 56% $875 54% $1,500 73% Price MTBF $32.00 19000 $33.40 19800 $35.00 20600 $32.60 18250 $31.65 17500 $36.40 21500 6.1 13.4 19 17 5.7 14.2 Eat 6.0 14.4 2.27 2.26 2.14 16 Fast 13% 7.6 12.7 8 FOUNDATION FAST TRACK Page 5 High Tech Segment Analysis FastTrack F71143 Round: 1 Dec. 31, 2016 High Tech Statistics Accessibility F71143 High Tech Total Industry Unit Demand 2,592 Actual Industry Unit Sales Andrews 2,592 Segment % of Total Industry 31.9% Baldwin Chester Next Year's Segment Growth Rate 20.0% High Tech Customer Buying Criteria Digby Expectations Importance Erie 1. Ideal Position Pfmn 8.1 Size 11.9 33% Ferris 2. Age Ideal Age = 0.0 29% 3. Price $25.00 - 45.00 25% 0 % 20% 40% 60% 80% 100% 4. Reliability MTBF 17000-23000 13% Perceptual Map for High Tech Actual vs Potential Market Share Perceptual map (at end of this year) 20 2016 F71143 High Tech 20% 18 18% 16 16% 14 CE 14% 12% Fast 12 till 10 8 10% 8% 6% 4% 2% OY 6 02 4 6 8 10 12 14 16 18 20 Performance O Actual Potential Top Products in High Tech Segment Dec. Cust. List Name Daze Market Share 20% 19% 19% 14% Survey 12 Stock Pfmn Size Out Coord Coord 6.1 13.4 7.6 12.7 Units Sold to Revision Seg Date 517 3/15/2016 501 10/20/2016 494 3/11/2016 372 1/29/2016 354 7/27/2016 354 7/22/2016 Fast Baker 24 Age Dec. 31 2.45 2.14 2.45 4.10 2.26 2.27 Cust. Promo Aware- Budget ness $1,450 72% $1,500 73% $1,300 67% $1,500 73% $875 54% $925 56% Cust. Sales Access- Budget ibility $1,450 42% $1,275 39% $1,300 40% $1,500 43% $850 33% $925 34% Price MTBF $35.00 20600 $36.40 21500 $33,40 19800 $32.00 19000 $31.65 17500 $32.60 18250 6.4 13.8 12 YES 6.4 Able Eat Cake 13.6 14.4 11 8 14% 14% 6.0 5.7 14.2 8 FOUNDATION FAST TRACK Page 6 Foundation Market Share Fast Track F71143 Round: 1 Dec. 31, 2016 Units Sold vs Demand Chart F71143 Market Share F71143 20% 15% 10% 5,000 4.000 3,000 2,000 1,000 0 % 0 Andrews Baldwin Chester Digby Ere Low High Industry Unit Sales Total Unit Demand Low High Actual Market Share in Units Potential Market Share in Units Industry Unit Sales % of Market Low 5,544 68.1% High 2,592 31.9% Total 8,136 Units Demanded 100.0% % of Market Low 5,544 68.1% High 2,592 31.9% Total 8,136 100.0% Able Total 18.1% 18.1% 14.3% 14.3% 16.9% Able 16.9% Total 20.4% 20.4% 16.1% 16.2% 19.1% 19.1% Baker Total 18.0% 18.0% 19.1% 19.1% 18.4% Baker 18.4% Total 17.5% 17.5% 18.7% 18.7% 17.9% 17.9% Cake Total 16.9% 16.9% 13.7% 13.7% 15.9% Cake 15.9% Total 16.5% 16.5% 13.4% 13.4% 15.5% 15.5% Daze Total 17.1% 17.1% 20.0% 20.0% 18.0% Daze 18.0% Total 16.6% 16.6% 19.5% 19.5% 17.5% 17.5% Eat Total 16.7% 16.7% 13.7% 13.7% 15.8% Eat 15.8% Total 16.3% 16.3% 13.4% 13.4% 15.4% 15.3% Fast Total 13.2% 13.2% 19.3% 19.3% 15.1% Fast 15.1% Total 12.8% 12.8% 18.9% 18.9% 14.7% 14.7% FOUNDATION FAST TRACK Page 7 Look at the accompanying FastTrack, which shows the results for Round1 for a Foundation industry. Answer the following questions, explaining the reasons and justification for your answers. 1) Which company had the biggest difference between actual and potential market share in the Low Tech segment? (Look at pages 5 & 7) 2) Why did this difference happen? In other words, is the difference a result of stock-outs and therefore lost sales? Or is the difference due to selling more than the company's fair share? 3) Calculate the quantity (in units) of lost sales/extra sales. 4) How could the company you named in Q(1) have avoided this situation? 5) Which company is selling the top product (in terms of customer appeal) in the Low tech segment? What is the product's name? 6) What was the product's actual market share in 2016 (Rd1)? 7) What was the product's potential market share in 2016 (Rd 1)? 8) What is the product's potential market share in the beginning of next year 2017 (Rd 2)? Show your calculations. 9) Why is the answer of Q (8) different from the answer of Q(7)? Explain. 10) How many products do you expect to find in the Low Tech segment in 2017 (Rd2)? 11) If all the products in the Low Tech Segment are equally attractive to the customers, what would the market share of each product be in 2017 (Rd2)? 12) Follow the steps explained in class and calculate a sales forecast for product Able in the Low Tech segment in 2017. Each step is tackled by one of the following questions: a) Set appropriate assumptions for what you expect company Andrews to do with product Able's design and marketing in 2017. Set appropriate assumptions b) Forecast the expected Low Tech market share for Able in 2017. Calculate and show the steps for obtaining your Low Tech sales forecast for Able in Foundation Round: 1 Dec. 31, 2016 FastTrack F71143 Baldwin Andrews Iman Seoudi Chester Digby Erie Ferris Selected Financial Statistics Baldwin 5.0% Andrews -0.6% 1.36 -0.8% Chester 5.7% 1.44 8.3% Digby 6.9% 1.65 11.4% Erie 4.2% 1.43 6.0% Ferris 7.7% 1.78 13.7% 1.62 8.1% 1.9 1.9 1.8 1.8 1.9 1.9 15.3% ROS Asset Turnover ROA Leverage (Assets/Equity) ROE RO Emergency Loan Sales sale EBIT Profits Cumulative Profit SG&A / Sales Contrib. Margin % -1.6% $0 $43,981,385 $902,601 15.4% $0 $49,882,292 $5,115,505 $2,489,851 $4,983,557 9.2% 22.0% 21.0% $0 $51,224,159 $6,724,491 $3,527,743 $6,021,448 9.6% 25.0% $0 $42,124,770 $4,989, 151 $2,417,575 $4.911,281 7.3% 22.9% 11.3% $0 $40,563,855 $3,867,773 $1,703,257 $4,196,963 7.2% 20.7% 26.3% $0 $44,798,944 $6,401,298 $3,440,776 $5,934,482 9.7% 26.5% ($270,876) $2,222,830 15.4% 20.4% Percent of Sales F71143 $ Market Share F71143 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0 % Var Costs Depr O SGA Other Profit 18.3 % Andrews 16.14% Baldwin Chester 15.45 % Digby 18.79% Erie 14.88 Ferris 16.44 % Andrews Baldwin Chester Digby Erie Femis FOUNDATION FAST TRACK Page 1 Foundation Stock & Bonds Fast Track F71143 Round: 1 Dec. 31, 2016 Stock Market Summary Company Close Shares Book Value EPS Yield P/E Andrews Baldwin Chester Digby Erie Ferris $9.76 $14.39 $14.25 $16.43 $12.86 $16.30 Change ($1.41) $3.22 $3.09 $5.27 $1.69 $5.13 2,400,000 2.076,077 2,051,004 2,036,677 2,051,004 2,000,000 MarketCap ($M) $23 $30 $29 $33 $26 $33 $7.10 $7.80 $7.72 $8.24 $7.38 $6,55 (S0.11) $1.20 $1.18 $1.73 $0.83 $1.72 Dividend $0.00 $0.00 $0.00 $0.00 $0.00 $1.60 0.0% 0.0% 0.0% 0.0% 0.0% 9.8% -87.2 12.0 12.1 9.5 15.5 9.5 Closing Stock Price F71143 $35 $30 $25 Andrews Baldwin Chester Digby Erie Ferris $20 $16 $10 96 10 2015 2016 2017 2018 2019 2020 2021 2022 2023 Series# Face Yield Series# Face Yield Close$ S&P Company Andrews 11.0S2017 12.0S2019 13.0S2021 10.0S2026 $866.667 $1,733,333 $2,600,000 $2,480,000 11.0% 11.7% 12.1% 10.6% 11.0S2017 12.0S2019 13.0S2021 10.082026 $866,667 $1,733,333 $2,600,000 $2,287,212 11.0% 11.7% 12.0% 10.5% 100.18 102.94 108.17 95.25 BB BB BB BB Baldwin Bond Market Summary Close$ S&P Company Digby 100.00 B 102.44 B 107.39 B 94.11 B Erie 100.00 B 102.44 B 107.39 B 94.11 B Ferris 100.18 BB 102.94 BB 108.17 BB 95.25 BB 11.0S2017 12.0S2019 13.0S2021 10.0S2026 $866,667 $1,733,333 $2,600,000 $2,480,000 11.0% 11.7% 12.1% 10.6% 11.0S2017 12.0S2019 13.0S2021 10.0S2026 $866,667 $1,733,333 $2,600,000 $2.361,878 11.0% 11.7% 12.1% 10,6% 100.09 102.69 107.78 94.68 BB BB BB BB Chester 11.0S2017 12.0S2019 13.0S2021 10.0S2026 $866,667 $1,733.333 $2,600,000 $2,361,878 11.0% 11.7% 12.0% 10.5% 11.0S2017 12.0S2019 13.0S2021 10.0S2026 $866,667 $1,733.333 $2,600,000 $420,545 11.0% 11.7% 12.1% 10.6% 100.00 102.44 107.39 94.11 B B B B Next Year's Prime Rate 7.00% FOUNDATIONS FAST TRACK Page 2 Foundation Fast Track F71143 Round: 1 Dec. 31, 2016 Andrews Baldwin Chester Digby Erie Ferris ($271) $2,490 $2,418 $3,528 $1,703 $3,441 Financial Summary Cash Flow Statement Survey CashFlows from operating activities Net Income(Loss) Adjustment for non-cash items: Depreciation Extraordinary gains/losses/writeoffs Changes in current assets and liablilities Acounts payable Inventory Accounts Receivable Net cash from operations $960 $0 $1,064 $0 $1,426 $0 $1,020 $0 $1,426 $0 $1,133 $0 ($836) ($170) $2,352 ($3,876) ($1,005) $300 $307 ($746) $3,415 ($657) $166 ($109) $3,244 ($131) $222 $801 (5857) $4,714 ($161) ($144) ($329) $3,941 $19 $2.182 ($6,920) ($6,925) ($6,995) ($6,500) ($6,995) ($2,600) Cash flows from investing activities Plant improvements(net) Cash flows from financing activities Dividends paid Sales of common stock Purchase of common stock Cash from long term debt issued Early retirement of long term debt Retirement of current debt Cash from current debt borrowing Cash from emergency loan $0 $4,467 $0 $2,480 $0 $0 $5,000 $0 $0 $850 $0 $2,480 $0 $0 $3,691 $0 $0 $570 $0 $2,362 $0 $0 $3,679 $0 $0 $410 $0 $2,287 $0 $0 $3,679 $0 $0 $570 $0 $2,362 $0 $0 $3,679 $0 ($3,195) $0 $0 $421 $0 $0 $3,679 $0 Net cash from financing activities $11,947 $7,021 $6,610 $6,376 $6,610 $905 Net change in cash position Balance Sheet Survey Cash Accounts Receivable Inventory Total Current Assets $4,022 Andrews $9,624 $7,230 $0 $3,510 Baldwin $9,112 $4,100 $2,045 $15,257 $2,859 Chester $8,461 $3,462 $2,186 $14,109 $4,590 Digby $10.191 $4,210 $1,551 $15,953 $1,798 Erle $7.399 $3,334 $2.483 $13,216 $2,246 Ferris $7.847 $3,682 $2,496 $14,025 $16,854 Plant and equipment Accumulated Depreciation Total Fixed Assets $21,320 ($5,760) $15,560 $21,325 ($5,864) $15,461 $21,395 ($6,226) $15,168 $20,900 ($5,820) $15.080 $21,395 ($6,226) $15,168 $17,000 ($5,933) $11,067 Total Assets $32,414 $30.718 $29,278 $31,033 $28.385 $25,092 Account Payable CurrentDebt Long Term Debt Total Liabilities $2,684 $5,000 $7,680 $15,364 $3,154 $3,691 $7,680 $14,525 $2,196 $3,679 $7,562 $13,437 $3,076 $3,679 $7,487 $14,242 $2,017 $3,679 $7,562 $13,258 $2,693 $3,679 $5,621 $11,992 Common Stock Retained Earnings Total Equity $6.790 $10.260 $17,050 $3,173 $13,020 $16,193 $2,893 $12,948 $15,841 $2,733 $14,058 $16,791 $2,893 $12,234 $15,127 $2,323 $10.777 $13,100 Total Liabilities & Owners" Equity $32,414 $30.718 $29,278 $31,033 $28,385 $25,092 Income Statement Survey Sales Variable Costs(Labor Material,Carry) Depreciation SGA(R&D Promo, Sales Admin) Other(Fees,Writeoffs, TQM, Bonuses) EBIT Interest(Short term, Long term) Taxes Profit Sharing Net Profit Andrews $43,981 $35,005 $960 $6,767 $347 $903 $1,319 ($146) $0 ($271) Baldwin $49,882 $38,922 $1,064 $4,614 $166 $5,116 $1,207 $1,368 $51 $2,490 Chester $42,125 $32,489 $1,426 $3,073 $147 $4,989 $1,194 $1,328 $49 $2,418 Digby $51.224 $38,409 $1,020 $4,936 $135 $6,724 $1,186 $1,938 $72 $3,528 Erie $40,564 $32,184 $1,426 $2.940 $147 $3,868 $1,194 $936 $35 $1,703 Ferris $44,799 $32.917 $1,133 $4,326 $21 $6,401 $1,000 $1,891 $70 $3,441 FOUNDATION FAST TRACK Page 3 Foundation Production Analysis Fast Track F71143 Round: 1 Dec. 31, 2016 Production Vs. Capacity F71143 Andrews Baldwin Chester Digby Erie Femis 0 100 200 300 400 500 800 700 800 900 1.000 1.100 1.200 1,300 1,400 Production Capacity Units Primary Segment Low Sold Name Able Awsom Away Apple Unit Inven tory 0 0 0 0 Revision Date 1/29/2016 7/31/2017 2/27/2017 8/24/2017 Age Pfmn Size Dec.31 MTBF MTBF Coord Coord Coord Price 4.1 19000 6.4 13.6 $32.00 0.0 0 0.0 0.0 $0.00 0.0 0 0.0 0.0 $0.00 0.0 0 0.0 0.0 $0.00 1,374 0 0 0 Material Labor Cost Cost $14.13 $10.60 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 Contr. Marg. 20% 0% 2nd Shift & Over- time 63% 0% 0% 0% Auto mation Next Round 3.0 1.0 2.0 1.0 Capacity Next Plant Round Utiliz. 800 161% 150 0% 280 0% 150 0% 0% 0% Low 849 186% Baker Bold 1,493 0 79 0 3/11/2016 5/13/2017 2.5 19800 0.0 0 6.4 0.0 13.8 $33,40 0.0 $0.00 $14.16 $10.95 $0.00 $0.00 22% 0% 88% 0% 3.2 3.0 298 0% Cake Low 1,292 88 7/22/2016 2.3 18250 5.7 14.2 $32.60 $12.50 $10.56 23% 63% 4.8 849 162% Low Daze Dabble 1,464 0 59 0 3/15/2016 5/9/2017 2.4 0.0 20600 0 6.1 0.0 13.4 $35.00 0.0 $0.00 $14.52 $10.88 $0.00 $0.00 25% 0% 81% 0% 3.0 2.5 850 179% 350 0% Eat Low 1,282 100 7/27/2016 2.3 17500 6.0 14.4 $31.65 $12.40 $10.54 21% 63% 4.B 849 162% Fast Low 1.231 94 10/20/2016 2.1 21500 7.6 12.7 $36.40 $17.15 $10.50 27% 56% 3.5 850 155% FOUNDATION FAST TRACK Page 4 Foundation Low Tech Segment Analysis Fast Track F71143 Round: 1 Dec. 31, 2016 Accessibility F71143 Low Tech Low Tech Statistics Total Industry Unit Demand Actual Industry Unit Sales Segment % of Total Industry 5,544 Andrews 5,544 68.1% Baldwin Chester Digby Erie Femis Next Year's Segment Growth Rate 10.0% Low Tech Customer Buying Criteria Expectations Importance 1. Price $15.00 - 35.00 41% 2. Age Ideal Age = 3.0 29% 3. Reliability MTBF 14000-20000 21% 4. Ideal Position Pfmn 5.3 Size 14.7 9% Perceptual Map for Low Tech Perceptual map (at end of this year) 20 0 % 20% 40% 60% 80 % 100% Actual vs Potential Market Share 2016 F71143 Low Tech 18 16 14 20% 18% 16% 14% 12% 10% 8% 12 Size 10 8 6% 4% 6 2% 0% 4 2 Ferris 0 0 2 4 6 8 10 12 14 16 18 20 Performance Actual Potential Top Products in Low Tech Segment Cust. Dec. List Stock Out YES Pfmn Size Coord Coord Age Dec. 31 4.10 Cust. Survey 19 6.4 13.6 Name Able Baker Daze Cake Market Share 18% 18% 17% 17% 17% Units Sold to Revision Seg Date 1,003 1/29/2016 999 3/11/2016 946 3/15/2016 938 7/22/2016 927 7/27/2016 730 10/20/2016 6.4 13.8 20 2.45 2.45 Cust. Sales Access- Budget ibility $1,500 42% $1,300 39% $1,450 41% $925 34% $850 33% $1,275 36% Promo Aware- Budget ness $1,500 73% $1,300 67% $1,450 72% $925 56% $875 54% $1,500 73% Price MTBF $32.00 19000 $33.40 19800 $35.00 20600 $32.60 18250 $31.65 17500 $36.40 21500 6.1 13.4 19 17 5.7 14.2 Eat 6.0 14.4 2.27 2.26 2.14 16 Fast 13% 7.6 12.7 8 FOUNDATION FAST TRACK Page 5 High Tech Segment Analysis FastTrack F71143 Round: 1 Dec. 31, 2016 High Tech Statistics Accessibility F71143 High Tech Total Industry Unit Demand 2,592 Actual Industry Unit Sales Andrews 2,592 Segment % of Total Industry 31.9% Baldwin Chester Next Year's Segment Growth Rate 20.0% High Tech Customer Buying Criteria Digby Expectations Importance Erie 1. Ideal Position Pfmn 8.1 Size 11.9 33% Ferris 2. Age Ideal Age = 0.0 29% 3. Price $25.00 - 45.00 25% 0 % 20% 40% 60% 80% 100% 4. Reliability MTBF 17000-23000 13% Perceptual Map for High Tech Actual vs Potential Market Share Perceptual map (at end of this year) 20 2016 F71143 High Tech 20% 18 18% 16 16% 14 CE 14% 12% Fast 12 till 10 8 10% 8% 6% 4% 2% OY 6 02 4 6 8 10 12 14 16 18 20 Performance O Actual Potential Top Products in High Tech Segment Dec. Cust. List Name Daze Market Share 20% 19% 19% 14% Survey 12 Stock Pfmn Size Out Coord Coord 6.1 13.4 7.6 12.7 Units Sold to Revision Seg Date 517 3/15/2016 501 10/20/2016 494 3/11/2016 372 1/29/2016 354 7/27/2016 354 7/22/2016 Fast Baker 24 Age Dec. 31 2.45 2.14 2.45 4.10 2.26 2.27 Cust. Promo Aware- Budget ness $1,450 72% $1,500 73% $1,300 67% $1,500 73% $875 54% $925 56% Cust. Sales Access- Budget ibility $1,450 42% $1,275 39% $1,300 40% $1,500 43% $850 33% $925 34% Price MTBF $35.00 20600 $36.40 21500 $33,40 19800 $32.00 19000 $31.65 17500 $32.60 18250 6.4 13.8 12 YES 6.4 Able Eat Cake 13.6 14.4 11 8 14% 14% 6.0 5.7 14.2 8 FOUNDATION FAST TRACK Page 6 Foundation Market Share Fast Track F71143 Round: 1 Dec. 31, 2016 Units Sold vs Demand Chart F71143 Market Share F71143 20% 15% 10% 5,000 4.000 3,000 2,000 1,000 0 % 0 Andrews Baldwin Chester Digby Ere Low High Industry Unit Sales Total Unit Demand Low High Actual Market Share in Units Potential Market Share in Units Industry Unit Sales % of Market Low 5,544 68.1% High 2,592 31.9% Total 8,136 Units Demanded 100.0% % of Market Low 5,544 68.1% High 2,592 31.9% Total 8,136 100.0% Able Total 18.1% 18.1% 14.3% 14.3% 16.9% Able 16.9% Total 20.4% 20.4% 16.1% 16.2% 19.1% 19.1% Baker Total 18.0% 18.0% 19.1% 19.1% 18.4% Baker 18.4% Total 17.5% 17.5% 18.7% 18.7% 17.9% 17.9% Cake Total 16.9% 16.9% 13.7% 13.7% 15.9% Cake 15.9% Total 16.5% 16.5% 13.4% 13.4% 15.5% 15.5% Daze Total 17.1% 17.1% 20.0% 20.0% 18.0% Daze 18.0% Total 16.6% 16.6% 19.5% 19.5% 17.5% 17.5% Eat Total 16.7% 16.7% 13.7% 13.7% 15.8% Eat 15.8% Total 16.3% 16.3% 13.4% 13.4% 15.4% 15.3% Fast Total 13.2% 13.2% 19.3% 19.3% 15.1% Fast 15.1% Total 12.8% 12.8% 18.9% 18.9% 14.7% 14.7% FOUNDATION FAST TRACK Page 7