26 Aug Submit a draft proposal for Sections II and III
Submit a draft proposal for Sections II and III. You will provide financial statement analyses, profitability ratios, and ratio analyses to support the capital budget proposal formulated in Milestone Three. You will also use financial calculations to support proposal recommendations and to explain the short- and long-term financial impact for the organization.
II. Financial and Budgetary Considerations
A. Financial Statements: What financial statements will you utilize in making your proposal, and how will you use these statements?
B. Proposal Impact: What impact will your proposal have on the organization’s financial statements? Articulate the impact using appropriate terminology.
C. Flexed Versus Fixed: How would your proposal be different if using a flexed budget versus a fixed budget? In other words, how would the use of one type of budget versus the other impact your proposal, and how would your proposal impact the budget? (Evaluate the differences between a fixed and a flexed budget.)
III. Proposal Justification
A. Ratio Selection: What ratios will you use to support your proposal and why? Select the ratio or ratios that would be the most appropriate.
B. Ratio Results: Calculate the selected ratios and articulate the results using accurate terminology. What do the results tell you about the viability of your proposal?
C. Short- and Long-Term Impact: Based on your calculations and financial statement analysis, determine the short-term and long-term impact on the organization and the organization’s financials. What is the short-term and long-term financial impact of your proposal for the organization? How can you plan to strategically mitigate the impact on the financials of the company, or how will your proposal help inform strategic planning in the short and long term?
Guidelines for Submission: Your paper must be submitted as a Microsoft Word document and should be a minimum of two pages in length with double spacing, 12-point Times New Roman font, one-inch margins, and at least two sources cited in APA format.
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