George and Sharon Clark are preparing a plan to submit to venture capitalists to fund their? business, Music Masters. The company plans to spend $ 250,000 on equipment in the first quarter of 20 Upper X 7. Salaries and other operating expenses? (paid as? incurred) will be $ 48,000 per month beginning in January 20 Upper X 7 and will continue at that level thereafter. The company will receive its first revenues in January 20 Upper X 8?, with cash collections averaging $ 30,000 per month for all of 20 Upper X 8. In January 20 Upper X 9?, cash collections are expected to increase to $ 140,000 per month and continue at that level thereafter. Assume that the company needs enough funding to cover all its cash needs until cash receipts start exceeding cash disbursements. Requirement 1. How much venture capital funding should George and Sharon ?seek? ?(Leave unused cells? blank.) ? Total
0
0
0
0
Total
Equipment Purchase-2017 | 250,000.00 |
Salaries & Other OPEX-2017(48000*12) | 576,000.00 |
Salaries & Other OPEX-2018(48000*12) | 576,000.00 |
Total Estimated Expenses till 2018 | 1,402,000.00 |
Cash Collections- 2018(30000*12) | 360,000.00 |
Venture capital funding Required | 1,042,000.00 |
Dear Student,
Best effort has been made to give quality and correct answer. But if you find any issues please comment your concern. I will definitely resolve your query.
Also please give your positive rating.
Get Answers For Free
Most questions answered within 1 hours.