This simulation teaches the relationships between several Business Decision variables in a typical manufacturing business environment.  It simulates 20 quarters of business operation.  Accrual accounting  methods are used.  Each period an Integrated Financial Statement report is provided.

Item Name: Business Mini Sim Item Number: F-003 Price: Free   Click on Image to Begin.

The simulation begins in Quarter 1 with production of 15,000 units of product.  Each unit currently sells for $30.  Price may be changed to reflect new business strategies. The Budget expenditures (Marketing, Quality, Technology and Incentives) are represented as a percent of revenue.  These decisions may be changed from their initial values by pressing the up/down arrows in each decision block.  How each of these variables affects the simulation is described below.  Production can be increased up to a maximum of 25,000 units at no cost (Capacity is 25,000 units) in this simple business simulation.  The Loan Payment, T-Bills and Dividend decisions apply to uses of Cash. 

Press the 'Simulate Period' button to begin the simulation.  A 'Performance Report' and a 'Financial Report' are available each period.  The Performance Report displays several simulation outcomes each period and displays all periods on one report.  The Financial Report is an Integrated Financial Statement for each separate period as it is simulated.  A 'Graph' is available after 20 periods have been simulated.  It displays profit and cash outcomes each period in graphic form.  Use the 'ReSet' button to re-start the simulation.