Adamac Inc Case Analysis

1. Using the historical data as a guide, construct a pro forma (forecasted) profit and loss statement

Adam tracks down the owners of Standard and finds out they are based out of Long Island City, Queens. There Adam discovers the history of the company and how a man named Elias Fife a Jewish immigrant first set up the company. Through time other similar competitors had to sell or close and Standard stuck out through the times and had to sell its main building in NY to other locations to cut on costs. The company almost went bankrupt in the 1990s but managed to stay afloat and is now one of the biggest aftermarket manufacturing companies in the world.

The Rose Company is building a new plant to reduce cost, improve the quality of products, and maintain competitive leadership by gaining a slight production advantage. The main obstacles to be overcome are the commissioning of a new plant, new methods and process, and administrative reporting issues. As the newly hired General Plant Manager, I plan to resolve these issues by insisting that all plant communications flow through me, instituting training for plant personnel and setting operational expectations.

"Generally, a plaintiff seeking to pierce the corporate veil must show that complete domination ' was exercised over a corporation with respect to the transaction attacked, ' and that such domination was used to commit a fraud or wrong against the plaintiff which resulted in plaintiff’s injury '" (Williams v Lovell Safety Mgt. Co., LLC, 71 AD3d

$135,000 $90,000 TOTAL REVENUE $3,136,500 $2,352,375 $1,568,250 Expences TOTAL VARIABLE COSTS $454,000 $340,500 $227,000 TOTAL FIXED COSTS $1,403,000 $1,403,001 $1,403,002 TOTAL EXPENSE BEFORE IT $1,857,000 $1,743,501 $1,630,002 EBIT $1,279,500 $608,874 -$61,752 Depreciation $320,000 $320,001 $320,002 EBITDA $1,599,500 $928,875 $258,250 Furnishing Interest $110,000 $110,000 $110,000 20yr Mortgage Interest $182,000 $182,000 $182,000 TOTAL INTEREST $292,000 $292,000 $292,000 TAXES (40%) $395,000.00 $126,749.60 -$141,500.80 Furnishing Principal $180,160 $180,160 $180,160 20yr Mortgage Principal $49,713 $49,713 $49,713 TOTAL PRINCIPAL $229,873 $229,873 $229,873 NET INCOME $362,627 -$39,749 -$442,124 DIVIDEND PAYMENT $29,010 -$3,180 -$35,370 RETAINED EARNINGS $333,617 -$36,569 EBIT/INTEREST 4.38 2.09 (0.21) EBITDA/INTEREST 5.48 3.18 0.88 BURDEN $675,121.67 $675,121.67 $675,121.67 EBIT/BURDEN 1.90 0.90 (0.09) ROE= Net Income/OE (H1) 32.97% -3.61% -40.19% Revenue Estimates Revenue Item 100% Monthly 75%

Complete an income statement, balance sheet and statement of cash flows for 2011 assuming that sales projects were 20% lower

in record numbers – roughly 685,000 in 2011 and on track to reach over 700,000 this

* Net Operating Income (NOI), Cash Flow from Operations (CFO) and Cash Flow after Financing (CFAF)

5.000,00 $ 7.500 151.250 20 35.000,00 $ 12.500 321.250 26 $ 58,20 $ 110.000,00 4.000 333.500 83 115,38

We would like to introduce Paul Robbins of Castool Tooling Systems as our August Face this month. Paul is a dedicated and community minded resident of Uxbridge and owner of Castool. His company prides themselves as being a community leader, successful corporate entity and a strong, forward thinking employer. Paul’s corporate philosophy is impressive and evident in his BLOG. His positivism shines through in his writings where he stresses dedication and compassion for his employers and focuses on the necessity of corporate responsibility.

Year to Date Profit & Loss (P&L) and as many years as possible if applicable

A down payment of $70,000 would be required, and a first year interest payment of $45,370 (Exhibit 9). It is expected that the two machines would run at 40% capacity bringing in incremental revenue of $613,225, and incremental operating income of $234,855. The cost breakdown structure and the incremental gains for the laser cutter and water cutter can be seen in Exhibit 10. The ROI at 40% capacity is 33.80% (Exhibit 5), which is well above the banks lending rate. The payback period at 40% capacity is the lowest of all options at 3 years (Exhibit 6). With a score of 30, this option scored the highest against the decision criteria (Exhibit 7). This is largely due strongest cash flow, highest ROI, and emphasis on maintaining a high quality product and excellent costumer service.

Types of expense |1 |2 |3 |4 |5 |Total | | | | | | | | | |Gas |$3,600.00 |$3,600.00 |$3,600.00 |$3,600.00 |$3,600.00 |$18,000.00 | |Repairs and Maintenance |$800.00 |$928.00 |$1,048.00 |$1,160.00 |$1,264.00 |$5,200.00 | |Tires | |$760.00 |$760.00 |$760.00 |$760.00 |$3,040.00 | |Insurance |$2,400.00 |$2,400.00 |$2,400.00 |$2,400.00 |$2,400.00 |$12,000.00 | |Registration and taxes |$848.00 |$720.00 |$600.00 |$488.00 |$384.00 |$3,040.00 | |Depreciation |$9,720.00 |$5,832.00 |$3,500.00 |$2,100.00 |$1,348.00 |$22,500.00 | |Purchase

In the other side, the Protégé Corporation, that made a fruitful accomplishment under the project

By using the vertical analysis method as shown above we see the individual operating expense as a proportion of total revenue for the reporting period. This give greater clarity to the significance the various expense items mean to the airline and its reliance on these expenses to be controlled. We can see from the analysis there is consistency across reporting periods for these significant expenses, with decease in fuel costs.