Download as docx, pdf, or txt
Download as docx, pdf, or txt
You are on page 1of 1

Case

Star River Electronics Ltd. (V. 1.2)


by Robert F. Bruner, Robert M. Conroy, Kenneth Eades, Sean Carr Source: Darden School of Business 10 pages. Publication date: Mar 22, 2002. Prod. #: UV0014-HCB-ENG In July 2001, a new CEO joins this small manufacturer of CD-ROMs and DVDs to discover that the firm is in the midst of a financial crisis induced by rapid growth. The CEO asks an analyst for help with five tasks: (1) review historical performance of the firm; (2) forecast financing requirements for the next two years; (3) exercise the forecasting model to identify "key driver" assumptions; (4) estimate Star River's weighted average cost of capital; and (5) analyze a proposed investment in a packaging machine. The analyst must offer insights and recommendations based on the work. This is a Darden case study.

You might also like