Research Paper on:
Discussing Funding Options for Crown Corporation

Unformatted Sample Text from the Research Paper:
The forecasts and expectations can be used as long as Bennett would have known these in February 1969. Also, since there are so many facts and descriptions given, it sometimes  helps to outline these as the basic historical background that could affect the decision Bennett needs to make. Well begin with a synopsis, in outline format, of the relevant facts  that Bennett would have had.] In February 1969, Crown Corporation was faced with the challenge of obtaining $30 million in funds to complete the construction of another aluminum plant  and for working capital. Walter Bennett has three main options in terms of securing that funding for the corporation. Bennett has two goals: to hold to a $0.70 dividend rate  and to have a financing plan that will help meet both the short-term and long-term needs of the company. Before discussing these options, it is helpful to have an  understanding of the historical background and data that will affect Bennetts recommendation regarding funding. This information and these data will be provided in outline format to help clarify the exact  issues relevant to this decision. * Crowns sales are evenly divided between casting and aluminum products. * The completion of the new plant will increase Crowns capacity by about 85  million pounds were year and increase revenues by $3 to $4 million per year. * Earnings have been erratic ranging from a high of $1.13 in 1959 to a low  of $0.34 in 1963. * Crown is constantly threatened with new entrants to the market of fabricated products. The fact that so many small independent companies entered this  part of the industry caused prices to drop by 20 percent between late 1961 and late 1963. * Demand-supply conditions improved, however, and demand rose by 14 percent between