Fin/571 Essay

781 Words Nov 27th, 2014 4 Pages
Learning Team Reflection Week 6

FIN/571

Learning Team Reflection Week 6 Many Americans are looking for ways to safeguard their investments to generate profits for years to come. People have a better understanding of the importance in researching available options to invest money that will yield a good return. Peggy Parks is just one of many who has decided to take control of her finances and invest in opening a business specializing in alpaca breeding.
Capital Improvement Capital improvements are the costs that correlate to improving profit or creating improvements to resources. In Peggy Parks’ video, subsequently being dissatisfied with observing her retirement investments shift
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Doing so, Peggy Parks must be able to improve her yearly from $15,000 to $30,000 or even $45,000 in ROI, contingent on exactly how many male and female alpaca she decides to obtain. This would give an explanation for her preceding in capital improvements and expanding her capabilities to manage an above average quantity of alpaca living and nurtured on her estate. Also, this would assist her in generating a unlimited return on the quantities of her original assets to maintain progression of enterprise for the forthcoming years.
How to Proceed and Improve Capital Improvement Although Peggy Parks has increased her original investment of $56K by $15K in the first year, buying the male and female to add to her alpacas, she still has to be careful and not overextend herself. As she said in the video (2014), one must do their research to make sure that one is in the right business and raising the animals that are in demand. Peggy does not want to end up like the owners of the emu’s in Texas. To proceed and to continue implementing her capital resources, Peggy has to develop a plan for her future growth and for her future profits. She will have to determine if the stock she has now will be enough to increase her alpacas or if she will have to get some external financing to purchase additional stock. Developing a plan to determine how rapid she wants to grow and still be able to sustain profits is crucial.

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