INSTRUCTIONS
After reading Case 32: California Pizza Kitchen, complete the following questions and post your responses.
- In what ways can Susan Collyns facilitate the success of CPK?
2. What capital structure policy would you recommend for CPK?
Please keep in mind a response should be a well thought out value added response to another student’s post.
ANSWER
As the chief financial officer, Susan Collyns can facilitate the success of CPK in several ways. First, she can contribute to CPK’s success by maintaining a reasonable financial policy. Given the volatile nature of the restaurant industry and the challenges associated with rising commodity, labor, and energy costs, she can continue the company’s conservative approach to financial management (xxx et al., 2018). In this regard, she can prioritize the preservation of a robust balance sheet, an approach that involves minimizing the reliance on debt and ensuring ample liquidity. A strong balance sheet fortifies the company against … To access full answer, use the purchase button below to proceed.