PLEASE CHECK … your decisions Year

Corporate Product 1 Product 2 Product 3

Advertising: (€'000) Agents and distributors:
Europe 15 10 10 10 European agents
Nafta 5 5 5 5 Nafta distributors
Internet 10 5 5 5 Internet distributor

Prices (€): Operations:

Europe 325 490 690 Materials to buy ('000) Spot
Nafta 335 490 725 Maintenance hours/machine
Internet 375 585 855 Number of ports operated

Quantities to deliver to: Personnel:

European agents 1000 700 375 Assembly workers to recruit
(Not in full Nafta distributors 100 100 75 Hourly wage rate (€.c)
if starred) Internet distributor 200 150 100 Management budget (€'000)

Quality: Finance:
Take up product improvements 0 1 0 Shares to issue/repurchase
Product development (€'000) 25 15 15 Term loans (€'000)
Assembly times (minutes) 115 165 325 Machines to buy
Premium materials (%) 0 0 0 Factory extension (sq. m.)

Subcontracting: Information:
Components to order (units) 0 0 0 Market shares
2015 Qtr 1

Number Support Commn.

needed (€'000) %
3 10 8
1 8 6
9 5

5 3mth 0 6mth 0
20 Shift level 2
5 Web-site development 15

4 Number to train 0
12.00
80 Staff training (days) 0

10 Dividend (cents/share) 0 *
0 Term deposit (€'000) 0
0 Machines to sell 0
0 Insurance plan 1

0 Corporate activity 1
PHYSICAL RESOURCES: Usage and availability HUMAN RESOURCES:

Space: Sq. m. Production personnel: Assembly

Land owned 1000 At start of last quarter 17
Access/parking etc 200 Recruited 4
Unused land 300 Trained 0
Factory size next quarter 500 Dismissed 0
Circulation and access 125 Left 0
Machining operations 100 Available for next quarter 21
Assembly operations 210
Material and component stocks 7
Available space (overflow if negative) 58 Assembly workers:
Hours available
Machines: Number Absenteeism/sickness (hours)
Number decommissioned 0 Hours worked
Machines in use last quarter 4
Number bought and installed 0 Notice of strike weeks for next quarter
Machines available for next quarter 4

Theoretical hours available 4272

Hours breakdown 54
Hours worked 3873 Agents/distributors: Europe Nafta
Hours planned maintenance 26 Active last quarter 3 1
Average machine efficiency % 95.2 Resigned 0 0
Dismissed 0 0
Materials: Appointed 0 0
Opening stock available 1458 Active next quarter 3 1
Bought spot 5000
Bought default 0
Lost or destroyed 0
Used 4990
Closing stock 1468 Transport: Europe Nafta
For delivery next quarter: Journey length (km) 1381 500
Bought last quarter 0 Number of loads 8 2
Bought quarter before last 0
For delivery quarter after next: 0

Internet statistics:
Number of web-site ports operated 5 Carbon footprint (CO2e): Tonnes
Number of visits to your web-site 6897 Factory heating and lighting 4.75
Estimated level of failed visits (%) 0 Energy used in production 16.41
Number of internet service complaints 56 Total primary CO2e 21.16
 PRODUCT DATA: Product 1 Product 2 Product 3
Quantities:
Machining Scheduled 1300 950 550
31 Produced 1336 978 566
1 Rejected 36 28 16
Lost or destroyed 0 0 0
0
5 Delivered to:
27 European agents 1000 700 375
Nafta distributors 100 100 75
Internet distributor 200 150 100

9792 Orders from:

208 Europe 930 668 379
8314 Nafta 100 120 61
Internet 185 143 75
0
Sold to:
Europe 971 668 379
Nafta 100 100 63
Internet 185 143 75
Internet
1 Backlog of orders:
Europe 0 0 0
0 Nafta 3 10 0
0
1 Warehouse stocks:
Europe 29 32 202
Nafta 0 0 12
Internet 15 7 25

Internet
300 Guarantee services 76 ! 19 12
2

Product improvements Major Minor Minor

Product components:
Assembled last quarter 0 0 0
Ordered last quarter 0 0 0
Closing stock 0 0 0
Available for assembly 0 0 0
FINANCIAL STATEMENTS

ADMINISTRATIVE EXPENSES € INCOME STATEMENT € BALANCE SHEET

Advertising 90000 Sales revenue 1267611 Non-current assets:

Internet distributor 19856 Land
Internet service provider 11513 Opening inventory values 132744 Buildings
Agents and distributors 116975 Components purchased 0 Machinery
Sales office 12676 Materials purchased 227045 Property, plant and equipment
Guarantee servicing 9675 Machine running costs 72784
Product development 55000 Machinists wages 179974 Current assets:
Web-site development 15000 Assembly wages 106812 Product inventories
Personnel department 9000 Quality control 2880 Component inventories
Machine maintenance 6800 Hired transport 40700 Materials inventory
Purchasing and warehousing 8531 Less closing inventory values 136389 Trade receivables
Business intelligence 7500 Cost of sales 626550 Cash and cash equivalents
Credit control 2684 Gross profit 641061 Current assets
Insurance premiums 9186 Administrative expenses 465242 Total assets
Management salaries 80000 Insurance receipts 1274
Other costs 10846 Depreciation 27458 Liabilities:
Total administrative expenses 465242 Operating profit/loss 149635 Tax due
Finance income 5750 Trade payables
Accumulated taxable profit: Finance expense 3606 Bank overdraft
Profit/loss before tax 151779 Profit/loss before tax 151779 Current liabilities
Previous taxable profit/loss -93552 Tax assessed 0 Term loans
Taxable profit/loss 58227 Profit/loss for the period 151779
Earnings per share (cents) 5.06 Net assets

Dividends paid 0 Equity:

Insurance claimed 2805 Transferred to retained earnings 151779 Share capital
Primary non-insured risk 1531 Previous retained earnings -93552 Share premium account
Retained earnings 58227 Retained earnings
Total equity
BALANCE SHEET € CASH FLOW STATEMENT €

Non-current assets: Operating activities:

50000 Trading receipts 1311528
250000 Insurance receipts 1274
Machinery 1070870 Trading payments 1035012
Property, plant and equipment 1370870 Tax paid 0
Net cash flow from operations 277790
Current assets:
Product inventories 83141 Investing activities:
Component inventories 0 Interest received 5750
Materials inventory 53248 Asset sales 0
Trade receivables 783183 Assets purchased 0
Cash and cash equivalents 1150000 Net cash flow from investing 5750
Current assets 2069572
Total assets 3440442 Financing activities:
Shares issued 0
Shares repurchased 0
0 Dividends paid 0
Trade payables 284228 Additional loans 0
Bank overdraft 97987 Interest paid 3606
Current liabilities 382215 Net cash flow from financing -3606
0
Net cash flow 279934
3058227 Previous cash balance 772079
Cash balance 1052013
(including a term deposit of - 1150000 )
Share capital 3000000
Share premium account 0 Overdraft limit for next quarter 639000
Retained earnings 58227 Borrowing power next quarter 1031000
Total equity 3058227
ECONOMIC INTELLIGENCE Europe Nafta Rest (of developed world)
Gross domestic product (de-seasonalised) 3871 4011 58
% Unemployment rate (de-seasonalised) 7.2 5.3
Balance of external trade 1532 1283

Information about next quarter:

Central Bank base rate (% p.a.) 2.0 0.5 Exchange rate in € per $ (USD)

Building cost (€ per square metre) 500

Component cost (€ per unit) Product 1 Product 2 Product 3

from ( no premium materials) 103 161 249
to (100% premium materials) 124 204 314

Spot price 3 month 6 month

Material prices ($ per '000 units) 47946 45318 44781

BUSINESS REPORT: Excellence in leadership combined with good customer service and
financial expertise are essential if a business wishes to achieve
expansion and increase market share.

FREE INFORMATION Company Company Company Company Company Company

1 2 3 4 5 6
Stock market data:
Share price (cents) 111.32 111.32 111.32 111.32 111.32 111.32
Market valuation (€) 3339600 3339600 3339600 3339600 3339600 3339600

Dividend paid (cents/share) 0 0 0 0 0 0

Investment performance (€) 3339600 3339600 3339600 3339600 3339600 3339600

Business intelligence:
Product prices (€)
Product 1: Europe 325 325 325 325 325 325
Nafta 335 335 335 335 335 335
Internet 375 375 375 375 375 375
Product 2: Europe 490 490 490 490 490 490
Nafta 490 490 490 490 490 490
Internet 585 585 585 585 585 585
Product 3: Europe 690 690 690 690 690 690
 Nafta 725 725 725 725 725 725
Internet 855 855 855 855 855 855

Production employees 49 49 49 49 49 49
Assembly wage rate (cents/hr) 1200 1200 1200 1200 1200 1200
Number of agents/distributors 4 4 4 4 4 4

The Global Management Challenge is a business simulation designed by Edit Systems Ltd. (www.edit515.co.uk)
and organised worldwide by SDG - Simuladores e Modelos de Gestão, S.A. Lisboa, Portugal (www.worldgmc.com)
World Copyright © 2013 - EDIT 515 Ltd, UK and SDG - Simuladores e Modelos de Gestão, S.A.

MANAGEMENT REPORT - Group Information Pg 2 Group 0 Year

COMPANY BALANCE SHEETS

for Company: 1 2 3 4 5 6
Assets
Property, plant and equipment 1370870 1370870 1370870 1370870 1370870 1370870
Inventories 136389 136389 136389 136389 136389 136389
Trade receivables 783183 783183 783183 783183 783183 783183
Cash and cash equivalents 1150000 1150000 1150000 1150000 1150000 1150000

Liabilities
Tax assessed and due 0 0 0 0 0 0
Trade payables 284228 284228 284228 284228 284228 284228
Bank overdraft 97987 97987 97987 97987 97987 97987

Long term loans 0 0 0 0 0 0

Equity
Ordinary capital 3000000 3000000 3000000 3000000 3000000 3000000
Share premium account 0 0 0 0 0 0
Retained earnings 58227 58227 58227 58227 58227 58227
Net Worth 3058227 3058227 3058227 3058227 3058227 3058227

PURCHASED INFORMATION Not requested

Company number:
Market shares (% by volume sold)
Product 1: Europe
Nafta
Internet
Product 2: Europe
Nafta
Internet
 Product 3: Europe
Nafta
Internet

Competitors' business activity

Company number: 1 2 3 4 5 6
Total advertising expenditure (€) 90000 90000 90000 90000 90000 90000
Total product development (€) 55000 55000 55000 55000 55000 55000
Consumer star ratings:
Product 1 ** ** ** ** ** **
Product 2 *** *** *** *** *** ***
Product 3 ** ** ** ** ** **
Web-site ** ** ** ** ** **
 0.90

Company Company
7 8

111.32 111.32
3339600 3339600

0 0
3339600 3339600

325 325
335 335
375 375
490 490
490 490
585 585
690 690
 725 725
855 855

49 49
1200 1200
4 4

ww.edit515.co.uk)
ww.worldgmc.com)
e Gestão, S.A.

10 Qtr 8

7 8

1370870 1370870
136389 136389
783183 783183
1150000 1150000

0 0
284228 284228
97987 97987

0 0

3000000 3000000
0 0
58227 58227
3058227 3058227

Not requested
 7 8
90000 90000
55000 55000

** **
*** ***
** **
** **
Non Current Assets: 1370870
Inventories: 136389

Total: 1507259

Insurance Claimed: 2805

Plan Primary Risk Premium

1 1507.259 9043.554
2 3014.518 5275.4065 1507.259 -3768.148
3 4521.777 3014.518 1507.259 -2260.888
4 6029.036 1507.259 1507.259 -1507.259
Closing Stocks:

Raw Materials: 1681

P1 P2 P3
Components: 3666 3610 1216
Product: 1498 928 194

Shift Level: 1
Assembly Time: 120 180 360

6-month Price $: 72147

Exchange Rate: 0.88

Component Cost: 124 204 314

157 269 411
Premium Material: 2 1 0

Product inventories 520648

Component inventories 1580833
Materials inventory 96053

Materials Inventory: 96053

Components Inventory:

Component Cost: 124.66 204.65 314.00

Value: 457003.56 738786.5 381824

1577614
Products Inventory:

Raw Material: 1498 1856 582

Raw Material Vaue: 83882 104967 33256
226877

Assembly Wages: 14.99

Machinist Wages: 9.74

Machining: 61977.7622 47993.46072 16052.98514

126024

Assembly: 44910.04 41732.16 17448.36

104091

502691.3322
Premium Material 30 19 0
Premium Material Vaue: 2922 1851 0
Year Quarter Share Capital Issue Repurchase
2015 1 3000000 300000 0
2 3300000 0 0
3 3300000 0 600000
4 2700000 0 0
2016 1 2700000 0 270000
2 2430000 540000 0

Retained Earnings: 58227

Share Capital: 3000000

Total Share: 3000000

Dividend %: 5 150000
Dividend %: 2 60000
Dividend %: 1 30000

Cash: 1052013 1150000

Liquidity: -97987
Overdraft: 97987

Investment Performance:

Year Quarter IP Share Price Share Capital

2016 2 4320400 108.01 4000000
3 4310901 107.75 3830000
4 4667190 115.51 4100000
2017 1 4260472 106.29 4400000
Final Share Capital Year Quarter
3300000 2015 1
3300000 2
2700000 3
2700000 4
2430000 2016 1
2970000 2
Issue / Repurchase Value Dividend Value New SP New SC
-170000 -183617 0 0 107.75 3830000
270000 290925 1% 38300 115.51 4100000
300000 346530 0 0 106.29 4400000
0 0 0 0 108.75 4400000
Share Capital Issue Repurchase Final Share Capital
3000000 0 0 3000000
3000000 0 0 3000000
3000000 300000 0 3300000
3300000 0 0 3300000
3300000 0 0 3300000
3300000 330000 0 3630000
IP Actual IP
4310000 4310901 901
4666902 4667190 288
4261222 4260472 -750
4369462 4367672 -1790