Determine two strategies that tfc could utilize to reach

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Reference no: EM132032492

Trevose Fitness Center Balance Sheet


(numbers are in 000's)	As of December 31, XXXX
	2011	2012	2013 (e)
Assets:
Cash	$ 20,000	$ 30,000	$ 10,000
Short-Term Investments	$ 5,000	$ 7,000	$ 6,000
Accounts Receivables	$ 10,000	$ 13,600	$ 20,000
Inventories	$ 2,000	$ 3,000	$ 7,000
Total Current Assets:	$ 37,000	$ 53,600	$ 43,000
Gross Fixed Assets	$ 800,000	$ 850,000	$ 1,600,000
Less Accumulated Depreciation	$ 320,000	$ 340,000	$ 520,000
Net Fixed Assets	$ 480,000	$ 510,000	$ 1,080,000
Total Assets:	$ 517,000	$ 563,600	$ 1,123,000


(numbers are in 000's)	As of December 31, XXXX
	2011	2012	2013 (e)
Liabilities :
Accounts Payable	$ 1,500	$ 2,000	$ 5,000
Notes Payable	$ 8,000	$ 10,000	$ 20,000
Accruals	$ 2,000	$ 3,000	$ 7,000
Total Current Liabilities:	$ 11,500	$ 15,000	$ 32,000
Long-Term Debt	$ 200,000	$ 180,000	$ 400,000
Total Liabilities:	$ 211,500	$ 195,000	$ 432,000

Equity:
Common Stock (200,000 shares)	$ 200,000	$ 200,000	$ 500,000
Retained Earnings	$ 105,500	$ 168,600	$ 191,000
Total Equity:	$ 305,500	$ 368,600	$ 691,000

Total Liabilities and Equity:	$ 517,000	$ 563,600	$ 1,123,000

Determine two strategies that TFC could utilize to reach its expansion goals. You may, for example, consider your analysis of TFC's financial statements, as well as your knowledge of TFC's excessive cash position. Provide a rationale for your response

Reference no: EM132032492

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