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Lawrence Sports Working Capital Policy

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Create a working capital policy for Lawrence Sports that addresses their cash management needs for the long term.
a. Compare Lawrence Sports' use of cash budgeting to the purpose of cash budgeting. Describe the weaknesses in Lawrence Sports' existing working capital policies that lead to their cash flow problem.
b. The policy must cover the following:
1) Cash balance requirements including cash reserves needed for long term opportunities that may arise.
2) Credit policy that balances Lawrence Sports desire to minimize accounts receivable and maximize revenue.
3) Supplier negotiation strategy for terms of payment that balances the costs to Lawrence Sports and their cash requirements.
4) Short term financing strategy to ensure availability of an adequate line of credit while minimizing the cost of that credit.
5) Metrics that will be used to monitor performance against the policy.
c. In a separate section of your paper, discuss the ethical implications of your working capital policy. Identify the conflicting interests of Lawrence Sports' stakeholders and how those interests are addressed by your policy.

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Sample paper giving a working capital policy that addresses cash management long-term is attached in Word.

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MBA 550: Working Capital Policy Paper (Lawrence Sports)

This solution includes tips, suggestions and information regarding the Lawrence Sports Working Capital Policy Paper, usually completed in MBA 550 (Resource Optimization).

It includes help with the following sections:

- Working capital policy
- Ethical Implications
- and more...

Includes references!!

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