World 3 QUARTERLY INDUSTRY REPORT 04-14-2018 Year 5 Quarter 4 BUSINESS POLICY GAME, 7TH EDITION 07:12:20 F1 © 2016 by Richard V. Cotter, David J. Fritzsche and Simon Rodan ---------------------------------------------------------------------------- FINANCIAL MARKET DATA Merica Sereno | ---Credit Rating--- GDP Index (Nominal) 122.70 136.10 | Interest Rates: No. 1 No. 2 No. 3 Consumer Price Index 104.00 111.10 | Long-Term 4.50 4.90 5.70 Stock Market Index 154.20 | Short-Term 4.50 4.80 5.90 3-Month Time CD Rate 2.95 | ---------------------------------------------------------------------------- REAL GROSS DOMESTIC PRODUCT FORECAST Actual Values, Last 4 Quarters Forecast Values, Next 4 Quarters Qtr 17 Qtr 18 Qtr 19 Qtr 20 Qtr 21 Qtr 22 Qtr 23 Qtr 24 Merica 111.40 115.29 115.88 117.98 119.65 122.74 126.58 122.53 Sereno 118.34 117.89 119.62 122.50 124.29 126.45 122.83 124.64 ---------------------------------------------------------------------------- EXCHANGE RATE FORECAST Sereno 6.00 6.00 6.00 6.00 6.08 6.11 5.97 6.09 ---------------------------------------------------------------------------- Inves- Stock Earn- Divi- tor Shares Bank Time Credit Co. Price ings dends ROI Issued Bonds Loans Cash CDs Rating 1 3.19 0.183 0.000 24.3 5700 2000 0 2851 1000 2 2 2.24 0.146 0.005 13.3 6000 2000 0 1334 500 2 3 1.58 0.092 0.000 3.0 7500 2000 0 266 0 3 4 0.95 0.042 0.024 -8.3 16100 4000 1000 3339 0 3 5 1.54 0.100 0.000 2.4 6000 5000 0 2899 0 3 ---------------------------------------------------------------------------- Income Income Income Sales Bonds Int. Net Fixed Total Total to to to to to Cover- Co. Income Assets Assets Equity Assets Equity Sales Assets Equity age 1 1042 13088 21314 16887 4.9 6.2 14.2 34.5 11.8 85.3 2 875 14681 21550 16930 4.1 5.2 11.1 36.6 11.8 36.9 3 692 11341 20045 15347 3.5 4.5 10.1 34.1 13.0 49.8 4 680 17108 25717 18090 2.6 3.8 8.8 30.1 22.1 37.1 5 600 11655 19273 12000 3.1 5.0 10.0 31.0 41.7 10.9 ---------------------------------------------------------------------------- Key: Company 1 Quench Company 2 Galaxy Holdings Company Limited Company 3 Hive Technologies Inc. Company 4 Pomona Broncos, LLC. Company 5 4G2G0 Audio World 3 QUARTERLY INDUSTRY REPORT, Page 2 04-14-2018 Year 5 Quarter 4 BUSINESS POLICY GAME, 7TH EDITION 07:12:20 F2 © 2016 by Richard V. Cotter, David J. Fritzsche and Simon Rodan ---------------------------------------------------------------------------- Sales Market ----Sales (in 000s)---- --------Product Price--------- Co. $000s Share Tot M1 M2 M3 S M1(M$) M2(M$) M3(M$) S(Ps) 1 7362 21.2 788 210 217 212 149 9.25 9.40 9.50 55 2 7878 21.9 816 122 259 245 190 9.55 9.55 9.55 60 3 6839 18.7 697 191 208 204 94 9.60 9.60 9.60 67 4 7752 22.4 835 150 263 275 147 9.40 9.35 9.40 53 5 5982 15.7 586 121 193 180 92 10.25 10.00 10.00 66 ---------------------------------------------------------------------------- Model Model New Plant Expansion AltmanZ Co. No. Avail Lines M1 M2 M3 S Year 1 3 4 0 0 0 0 0 3.09 2 4 5 0 0 0 0 0 3.21 3 4 4 0 0 0 0 0 2.24 4 4 5 0 0 0 0 0 2.02 5 4 4 0 0 0 0 0 1.63 ---------------------------------------------------------------------------- Q Product Position Map u Features M1 Features M2 Features M3 Features S a 1 2 3 1 2 3 1 2 3 1 2 3 l ----------------- ----------------- ----------------- ----------------- 2,4 |3,5 | |2,3 | |3,5 | |1 |3,5 3 | | | | | | | | | | | | | | | | ----------------- ----------------- ----------------- ----------------- 1 | | | | |2,4 | | |2,4 2 | | | | | | | | | | | | | | | | ----------------- ----------------- ----------------- ----------------- | | 4 |1,5 | |1 | | | 1 | | | | | | | | | | | | | | | | ----------------- ----------------- ----------------- ----------------- ---------------------------------------------------------------------------- Key: Company 1 Quench Company 2 Galaxy Holdings Company Limited Company 3 Hive Technologies Inc. Company 4 Pomona Broncos, LLC. Company 5 4G2G0 Audio