FIN 571 Week 6 Learning TEAM REFLECTION
When a business is established, changes and improvements are expected and necessary in order for the business to survive. Capital improvements are costs invested to enhance a businessby adding value and increasing capital assets. In understanding the video of Betty Parks and her Alpacas, she decided to invest her retirement funds into breeding Alpacas.
The large portion of Betty’s return on capital is the birth of an alpaca. In the video she states that she has $56,000 invested and within the first year two alpacas were born, which yielded $15,000. It seems that building a stable to aid in reproduction of the alpacas would be an improvement. A stable would provide the mother a quiet place to give birth. She also needs to make sure that they are protected from potential predators but also maybe consider segregating for breeding or weaning. The mother would be secure and readily available to a veterinarian if complications would arise.
A capital improvement that could help Betty with her Alpaca business would be adding a few fences on her land. There should be aperimeter and interior fence. The perimeter fence will protect the herd from dangerous predators keeping them safe. The alpaca must remain healthy and show quality in order to receive as much as $20,000 per animal.The interior fence could be used for the segregation of the herd for specific purposes.With Betty's two new additions to her herd it is right to assume that the number of alpacas will continue to grow. Because of this she will need to ensure that she has sufficient space to contain the herd while ensuring she keeps them contained. She also needs to make sure that they are protected from potential predators.
When a business is established, changes and improvements are expected and necessary in order for the business to survive. Capital improvements are costs invested to enhance a businessby adding value and increasing capital assets. In understanding the video of Betty Parks and her Alpacas, she decided to invest her retirement funds into breeding Alpacas.
The large portion of Betty’s return on capital is the birth of an alpaca. In the video she states that she has $56,000 invested and within the first year two alpacas were born, which yielded $15,000. It seems that building a stable to aid in reproduction of the alpacas would be an improvement. A stable would provide the mother a quiet place to give birth. She also needs to make sure that they are protected from potential predators but also maybe consider segregating for breeding or weaning. The mother would be secure and readily available to a veterinarian if complications would arise.
A capital improvement that could help Betty with her Alpaca business would be adding a few fences on her land. There should be aperimeter and interior fence. The perimeter fence will protect the herd from dangerous predators keeping them safe. The alpaca must remain healthy and show quality in order to receive as much as $20,000 per animal.The interior fence could be used for the segregation of the herd for specific purposes.With Betty's two new additions to her herd it is right to assume that the number of alpacas will continue to grow. Because of this she will need to ensure that she has sufficient space to contain the herd while ensuring she keeps them contained. She also needs to make sure that they are protected from potential predators.
0 comments:
Post a Comment