Victoria's Milling Case

VICTORIAS MILLING COMPANY, INC. Point of judgement:Assumed in this queer person is the perspective of VICMICO?s Finance OfficerProblem:What be the possible causes of VICMICO?s immediate recompense flow difficulty and how advise they be communicate? fountain Context:This case requires an psycho abstract of Victoria mill rough Co.?s monetary dictations in parade to present a comprehensible explanation regarding the caller-up?s debt position. This paper utilizes the moving picture of Ratio compendium to gain the afore-mentioned problem. The case also examines issues of currency flow problem for VICMICO in light of a vestigial law of a running(a) committee consisting of VICMICO?s s wreakholders. Areas for musing:?VICMICO and its subsidiaries were precondition a moratorium of 90 days to dispose its debts. ?A statement released by VICMICO?s Board Chairman account that 70- 80% of VICMICO?s problem was referable to the crisis of the whole diligence. ? monumental importing and dwindling prices of borecole were observed. ?Data on mill about industry or former(a) related industries were not given. ? granted the bound of VICMICO?s operations and industries, jobs of a big rate of employees are at stake. prudence moldiness also take into grade their disposition. Methodology1.Conduct trend analysis in the companion?s financial statements. The company need aboundingy to assess its performance everywhere era to come up with an explanation about its true status. 2.Consider factors that may signifi cornerstonetly attain the company?s performance. 3.Analyze the entropy gathered.

employ Ratio Analysis, the company?s management must be able to institutionalize out specific problems and issues to be handled. Analysis?The company is highly-leveraged due to high levels of liabilities. ?Income from operations fall greatly from Php603, 000,000 to Php234, 000,000 in 1996. This can be attributed to raised constitute and expenses crossways the period. ?The company?s performance is declining over time. This is suggested by decreases in most of the profitability, efficiency, and liquidity ratios computed. Current as well up as long-term debt... If you pauperism to get a full essay, order it on our website: Orderessay

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