Lesson 04 Activities

Lesson 04 Discussion

The text and commentary both reference the concept of “cash as king.” Let’s think about this concept in the context of alternative business strategies.

Consider a situation in which an organization with which you are or were affiliated was “cash poor.” You may wish to keep the actual identity of the organization confidential. If this is the case, please use a fictional name for the organization when describing the circumstances and your recommendations.

If you have never worked with an organization that experienced being "cash poor," choose one to lightly research using the Internet or you may informally interview a business colleague, friend, or relative.

By Saturday at 3:00 p.m. (ET):

 Submit an initial post of at least 250 words addressing the following:

• Briefly describe the situation.
• In seeking to create a competitive advantage given the organization’s economic circumstances, what options might the company have to achieve a more favorable cash position? 

By Monday at Noon (ET):

• Respond substantively to TWO other students’ initial posts, indicating whether from the facts presented by the initial posts, the options appear feasible. Explain.
• Make every effort to choose two posts that have not yet received a response.
• Check back to review responses to your original post.

Lesson 04 Assignment

A balance sheet in good order is broken down into categories as follows:

1. Current Assets
2. Non-Current Assets
3. Current Liabilities
4. Non-Current Liabilities
5. Shareholders' Equity

Use the Worksheet_Lesson4.doc to complete this assignment. Submit your completed document for grading by uploading it as an attachment.