...CASE 21: AURORA TEXTILE COMPANY Q1. How has Aurora Textile performed over the past four years? Be prepared to provide financial ratios that clear present a clear picture of Aurora’s financial condition? A- From 1999 – 2002, Aurora Textiles Company’s financial performance was unappealing and disheartening. Like many of its competitors, Aurora had been struggling financially. The company had not responded quickly to the deteriorating business environment, and had suffered consecutive losses for the past four years. Figure 1: Net Earnings of Aurora Textile Company (1999-2002) The graph above shows the net earnings of the company from 1999-2002. As we see, throughout the years, the net earnings have declined and resulted in a loss, especially in 2001. This could be attributed to the business risks that arose from the intense competition that characterized the industry in which Aurora operates. Moreover in January 2005, the US textile industry experienced intense competition when the WTO lifted the ban on quotas, which worsened Aurora’s financial condition and its credit rating of BB. The main reason for the decline in net earnings was due to the textile industry facing difficult circumstances. Figure 2: Financial ratios (1999-2002) The above table shows the financial ratios of the company from 1999-2000. Measures of probability have worsened during these years as ROA and ROE have been declining. Net sales have been steadily declining which led to management’s...
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...EXECUTIVE SUMMARY Aurora Textiles has historically been one of the premier textile companies in the United States and now has a decision to make. With the opportunity to invest in equipment that could help cure our slumping financials, we must carefully explore whether this investment is appropriate for a company with such an uncertain future. With that in mind we believe that the Zinser 351 is the perfect investment to pull us out of this slump. As a company that has been able to deliver a premium product for the consumers, the Zinser 351 will allow us to continue to do that while also begin relieving some of the financial stress that we have been under. Our analysis shows that the Zinser 351 project will yield a Net Present Value of $6,474,082.14 million and a discounted payback period of 5.6 years. This project not only brings a big enough payoff as demonstrated by the NPV, but also fits our timeline. The discounted payback period indicates that our investment will be realized before our company is not able to recover from our current financial struggles. The Zinser 351 is a project that this company must undertake if it wants to begin to bring value back to the shareholders who have become more and more impatient with us in recent times. This is an opportunity for Aurora to turn around its fortunes and once again prove that it is the premier textile company in the United States. ANALYSIS When deciding whether the Zinser is a worthwhile investment or...
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...AURORA TEXTILE COMPANY KEUANGAN PERUSAHAAN LANJUTAN Tugas Disusun oleh Audrya Puspita (1306415024) Joddy Eka Negara (1306395350) Richie Wibisono (1306408675) FAKULTAS EKONOMI DAN BISNIS UNIVESITAS INDONESIA Depok 2016 AURORA TEXTILE COMPANY Aurora Textile Company merupakan sebuah perusahaan tekstil yang memproduksi benang yang telah berdiri lama sejak awal 1900-an di Ameika Serikat. Pada Tahun 2003, Michael Pogonowski sebagai CFO Aurora Textile Company mempertimbangkan tentang pengadaan mesin baru ring-spinning Zinser 351 untuk menggantikan mesin lama yang telah ada sejak tahun 1997 di Hunter. Penggantian mesin baru tersebut diperkirakan dapat memberikan banyak kemajuan bagi perusahaan karena selain mesin tersebut dapat membuat produktivitas meningkat, keberadaan mesin tersebut juga dapat memberikan hasil produksi benang yang lebih berkualitas. Dengan meningkatnya kualitas produksi, maka akan menyebabkan harga benang yang dijual akan naik sebesar 10%, yaitu $1.0235 per pon. Selain itu, mesin tersebut juga mampu membuat biaya operasi dalam produksi menjadi lebih efisien karena adanya penurunan biaya operasi seperti penurunan konsumsi tenaga pembangkit dan biaya perawatan karena perusahaan menggunakan mesin rotor-spinning dan ring-spinning. Pengambilan keputusan untuk melakukan investasi pada mesin Zinster 351 berdampak pada jumlah penjualan yang akan turun sebesar 5% dari pasar tahun berjalan. Selain itu, hal tersebut juga akan berdampak pada kemungkinan terjadinya retur...
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...Case Study 4 Stephanie M. Clark Capella University Aurora Textile Company was established in the early 1900s as a yarn manufacturer. The company focused on four major customer segments, which were hosiery, knitted outerwear, woven and industrial and specialty products. Aurora Textile Company grew to become the leader in the textile-mill industry. In more recent years, changes in the market led to significant declines in financial performance for both Aurora and the U.S. textile industry over the last four years. The globalization of the textile market and the lure of cheaper production costs overseas led manufacturers to relocate to Asia. Also, the strength of the U.S. dollar made foreign produced textiles more affordable than domestically produced textiles. Additionally, the World Trade Organization (WTO) banned its members from using quotas, which further opened the market for competition. The negative financial impact of these changes in the textile industry required Aurora’s leadership to analyze the competitive strategy of the organization and to make recommendations to improve its financial performance. Aurora’s leadership identified the purchase of a new, ring-spinning machine, the Zinser 351, as one solution to improve its current financial performance and competitive position (Bruner et al., 2014). This purpose of this paper is to make a recommendation either to upgrade or to not upgrade the ring-spinning machine. First, this paper will analyze the impact of keeping...
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...Aurora Textile Company Case Abstract In January 2003, Michael Pogonowski, the chief financial officer of Aurora Textile Company, was questioning whether the company should install a new ring-spinning machine, the Zinser 351, in the Hunter production facility. This new machine has ability to produce a finer-quality yarn that would be used for higher-quality and higher-margin products. In deciding whether or not to invest this new machine, NPV and the payback period are critical factors. Firstly, we need to forecast the cash flows that the Zinser 351 will generate in the future. After calculation, the ten-year NPV will be $3, 172,582. Secondly, we use the payback period to analyze the acceptance of this project. Based on this analysis, Aurora Textile Company should invest this new machine because of the positive NPV and relatively small payback period, which we will analyze in the following discussion. Analysis In this analysis, we determined that NPV is the critical factor determining whether the company should invest or reject that new project. Secondly, we established that the payback period is another contributing force in our decision. The payback period tells us whether we can earn some money in the set period of time but this model has a few drawbacks, such as ignoring timing of cash flows and the positive cash flow after the payback period. In both calculations, NPV and payback period, we forecasted future cash flows. Cash flow from investing in the Zinser: ...
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...MANAGERIAL DATA ANALYSIS – CASE STUDY SUBJECT ANALYSED: THE RELATIONSHIP BETWEEN GROSS DOMESTIC PRODUCT AND HUMAN DEVELOPMENT INDEX in 41 COUNTRIES MIHAILA MIOARA 25% PETRE ALEXANDRA 25% SIMION LAURENTIU 25% TARIUC MONICA 25% MANAGEMENT of INTERNATIONAL PROJECTS ASE 2009 Case Study Record 40 – 60 data for two statistical variables (X and Y) at your choice. I. For each of the two variables: a) Calculate and interpret the average, standard deviation and the coefficient of variation for row data. Interpret the results. Is the data series homogenous? b) Summarize the data in an appropriate number of classes. Construct the frequency distribution. c) Calculate and interpret for the frequency distribution the average, standard deviation and coefficient of variance. Compare with the results from point a). Explain the differences. d) Construct a histogram and describe the shape of the distribution based on the histogram. e) In which interval is expected that about 95% of the data will fall? Is this assumption true for this data? II. Using the “Pivot Table Wizard” in EXCEL, build a pivot table on your spreadsheet (using also the second variable). You may have to change the order of the rows (You should define the intervals first using VLookup function. ...
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...Name Professor’s name Subject Date of submission EARTH’S AURORAS AND AURORAS ON OTHER PLANETS Introduction Theearth Auroras refer to thenaturallyoccurringflickeringlights in theskyespecially on thehighlatitudes. Thenaturallightdisplays in thesky with a variety of colors, which appearsvisible from greatdistances from theground. Thiskind of aspect is evident from thetales of peoplewholiveorhappen to be at highlatitudesandmanage to observe an etherealdisplay of coloredlightsshimmering across theskyespecially during thenight. According to Long, there are many a set of beliefs, which happen to explaintheconcept of Auroras in the Antarctic andthe Arctic regions of theworld. Differentpeopleperceivethenatural lightening of theskyassociated with variousmythologies from differentzones (Long 9). Forinstance, according to the Norse mythology, it is believedthatthenatural auroras werethebridge of fire to theskiesbuilt by thegods. Consequently, the Inuit believethat their ancestors’ spirits are everseendancing to the flickering light in thesky. All these are among the a fewbeliefsput forward by somepeoplewhoperceivetheearth auroras to be uniqueenough. Theeffect of theseearth Auroras in thenorthernhemisphereis termed as the aurora borealis orthe aurora borealis in otherwords. While in thesouthernhemisphere, thesameeffectis known as the aurora australis orthesouthernlights. Further, there are manycauses of theseearthly Auroras, andsome of them reflectbelow. Their technicalappearance...
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...Create a homemade scroll to announce the celebration: Use a program like Microsoft word to type up the invitation. A good size for each scroll is about 5x9. Print out the invitation and wad up the paper into a ball to make crease marks on the paper. Next fill a bowl with paper and tea bags. Unroll the paper and dip it into the bowl. The tea bags will dye the paper into a nice aged look. The amount of time you leave it in the bowl will determine how dark it gets. You can lay it out to dry or use a hairdryer to dry the paper. If you roll a tea bag over the paper, it will leave tea grains on it, adding to the old look. Next, glue a small wooden dowel or stick to the top and bottom of the paper and roll up. Use thread or ribbon to tie it shut. Dowels can be painted or stained and have cute jewels glued to them. The Laughing game- Everyone starts out in a circle facing each other. The first one in the circle starts the game by saying HA. The next person adds one HA to it making it HA HA. Continue around the circle having each person add a HA to the last one. The first one to giggle is out. Continue on until you have the last person to laugh. They win a prize. Princess Trivia- Put together a trivia game using Disney Princess characters such as Sleeping Beauty, Cinderella, Snow White, Ariel, and Jasmine. The guest with the most correct answers will win a prize....
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...and living happily ever after! For example “Cinderella” and “Sleeping Beauty” they are both princess that have evil villains trying to ruin them, but their stories are not the same. For example, they have different struggles, and how they overcome them. They both sing magically, but have different songs. They may be two of the most known princess in the world, but they also have many differences. However, in the end either the glass slipper fits, or true loves kiss wins. Cinderella and Aurora are two of the most beloved Disney princess of all time. How they got to be the most loved princesses is two completely different stories literally! Cinderella is a good-hearted girl, who is a servant in her own home to her cruel step-mother and two step-sisters because her father died at a young age. As Aurora is a kind hearted princess born into royalty. Although she is living with misfortune, as Cinderella, because and evil fairy named Maleficent curses her to die on sixteenth birthday. So Aurora is a more tragic story. However, Cinderella is a more hopeful and optimistic story that one day things will turn around. She dreams of a day that she will no longer be a servant in her own home. Her chance comes true when there is a ball at the castle, where the prince is looking for his future wife. With the help of her mice friends they make a perfect pink dress. The worst comes and Cinderella’s step-sisters ruin her dress. When all is looking down for Cinderella her fairy god-mother comes...
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...from having to live a servant life and this is teaching young girls that if one so happens to be beautiful enough, a wealthy prince will come along and save them. These Disney princesses are emphasizing to young girls that thinness and sensual features are a woman’s most prominent characteristics and that is what is going to draw the attention of a husband. Falling in love with someone’s beauty and not personality is yet another way Walt Disney shows young girls that a female's appearance is what is going to get her a husband. This is exactly what happens in Sleeping Beauty, Prince Phillip and Aurora did not even speak to one another, before Phillips decides he wants to marry her and he is deeply in love with her. Young girls should not be expecting at the age of 16 to have mature breasts, and a crystal clear complexion, however this is what Walt Disney is visually showing them. Aurora is given the blessing of "the gift of beauty"(Disney, Sleeping Beauty) by the fairy Flora and this is simply another way that Walt Disney shows little girls that beauty trumps other characteristics. The princess is never given characteristics like strength and intelligence but rather the only thing that would get a prince to fall in love with her and that is the way she looks. Here, coming full circle with the princess not being able to show the prince what is truly on the inside because she is never given the chance. Sleeping Beauty pricks her finger on the spindle and falls into a deep sleep...
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...Aurora Borealis (Northern Lights) By: Adriana Zavala They are many myths about the Aurora Borealis (Northern Lights), named after the Roman goddess of dawn, Aurora, and the Greek name for the north wind, Boreas, by Pierre Gassendi in 1621.The Lapps or the Saami people that were a closely related race of the Finns’ who lived in Lappland, in what is officially Northern Finland, Sweden, and Norway traditionally believed that the Aurora Borealis “were the energies of the souls of the departed. When the fires blazed in the skies, people were to behave solemnly, and children were admonished to quiet down and be respectful of the fires. It was believed that whoever disrespected the fires incurred bad fortune, which could result in sickness and even death” The Lapps believed these fires to have magical effects; Lappish shaman drums often have runes illustrating the fires to connect their energy. The lights were believed to have a serene effect on arguments, and the time of the fires was beneficial to problem solving. The Lapps also had a belief that if you whistled under the Aurora Borealis, then the lights would take you away with them (1). An American history on the Aurora Borealis took as an event. After the battle of Fredricksburg, the Aurora Borealis could be seen. The army took is it as God’s sign to show that he was on their side throughout the battle. It is very unusual to see the Aurora Borealis in Virginia (2). The Aurora Borealis is seen in many ways. One as a diffuse...
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... is cursed to live forever. Tithonus tells Aurora, goddess of the dawn, that he grows old slowly in her arms like a “white-hair’d shadow” roaming in the east. Tithonus laments that while he is now a “gray shadow” he was once a beautiful man chosen as Aurora’s lover. He remembers that he long ago asked Aurora to grant him eternal life: “Give me immortality!” Aurora granted his wish generously, like a rich philanthropist who has so much money that he gives charity without thinking twice. However, the Hours, the goddesses who accompany Aurora, were angry that Tithonus was able to resist death, so they took their revenge by battering him until he grew old and withered. Now, though he cannot die, he remains forever old; and he must dwell in the presence of Aurora, who renews herself each morning and is thus forever young. Tithonus appeals to Aurora to take back the gift of immortality while the “silver star” of Venus rises in the morning. He now realizes the ruin in desiring to be different from all the rest of mankind and in living beyond the “goal of ordinance,” the normal human lifespan. Just before the sun rises, Tithonus catches sight of the “dark world” where he was born a mortal. He witnesses the coming of Aurora, the dawn: her cheek begins to turn red and her eyes grow so bright that they overpower the light of the stars. Aurora’s team of horses awakes and converts the twilight into fire. The poet now addresses Aurora, telling her that she always grows beautiful...
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...Smart Growth Douglas Broadwater GEOG 101 December 7, 2012 Stephen Buckman Smart Growth Stapleton International Airport in Denver Colorado was first opened in 1929, and operated continuously until it closed in 1995. After 66 years of operation, upgrades, and expansion the airport had five concourses, six runways up to 12,000 feet in length and covered nearly 4,700 acres of land. From 1995 on the site sat largely abandoned while investor attempted to find vendors to set up shops in the empty concourses, in 1997 a hail storm punched holes in the roof of the terminals causing extensive water damage, the decision was made to tear down all the structure except for the 12 story control tower that is hoped to serve as an airport monument, developer want to turn it in to anything from a museum, restaurant or recreation center although its final destiny has yet to be determined("Denver Urban Renewal Authority", n.d.). In 1999 the City of Denver selected Forest City Stapleton Inc. as a master developer for Stapleton’s Sustainable Development Plan. This would generate economic development, enhance existing neighborhoods and businesses and offer high quality attractive homes to people with all different ranges of incomes. (Smartgrowth in action, n.d.) Stapleton covers 4,700 acres and is just fifteen minutes from downtown Denver. The project was estimated to take 15-20 years until full completion. Upon being complete they are expected to have 30,000 residence, and 35,000 workers...
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...This story today is called "A Pair of Silk Stockings." It was written by Kate Chopin Little Mrs. Sommers suddenly acquires fifteen dollars, which seems like a large amount to her. Feeling important and wealthy, she considers how to invest her money, feeling that she must carefully spend the money. During the night, she thinks of a sensible use for the money. She determines that she should spend a dollar or two extra for Janie's shoes, so that they will last longer and be of better quality, and she plans to buy some fabric for her children's clothing. After that, she will still have enough money for new stockings and hats for everyone, which pleases her because her children will have new clothing for the first time in a while. Mrs. Sommers used to have more money long ago, before her marriage, but she does not worry about the past or the future, focusing mostly on the present. Mrs. Sommers is used to cheap purchase, but today she is tired and forgets to eat lunch. While sitting on a stool to rest before her shopping, she realizes that her hand has brushed against a pair of two-dollar silk stockings. She continues to feel the splendid fabric and asks the shop girl for a pair in her size. After choosing a black pair of stockings, Mrs. Sommers buys them and goes directly to the ladies' waiting room to change. For once, she abandons thinking about responsibility or about why she is so satisfied at her purchase. She sits in the room for a while, reveling in her stockings...
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...then it is skimmed. New bio-engineering technique is then applied to make a protein spinning fluid. This fluid is suitable for wet spinning process through which the final high-grade textile fiber is made. While spinning, a solvent is used by most of the manufacturers and micro-zinc ion is embedded in the fiber which gives it the characteristics of being bacteriostatic and durable. It combines the advantages of both, natural as well as synthetic fibers. Milk protein fiber is a kind of fresh fiber that has very healthy functions. It contains eighteen amino-acids, which are beneficial to human health. It can be spun alone or with cashmere, silk, spun silk, cotton, wool, ramie and other fibers to make fabrics. The fabrics made of these fibers nourish and take care of skin in a very efficient manner by keeping away allergies and even wrinkles. The fabrics made from milk yarn are primarily used in manufacturing kidswear, top-grade underwear, shirts, T shirts, loungewear, etc. Characteristics of Milk Yarn The milk yarn has got many properties that are enough to make it one of the most sought after fabrics of the future. - The natural protein humectant factor is present in the milk fiber, which makes skin more delicate and smooth. As such Fabrics made of milk yarns are suitable for household textiles. - The amino acids...
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