Money Oriented

Analysis using Trade-off Theory
From two graphs ( stock price graph and debt-equity-ratio graph) we can see they are in the adversity relation. When the price increases, the DER decreases. Vice versa.

From the Pecking Order Theory
The theory said that if the internal financing does not enough, the company can ise the external financing. As the financial condition from year 2004 till 2008 is getting better and better, the company doesn’t need to issues the common stock any longer. That’s why the company will go private. The way the company going private is by increasing the stock price so the stock buyers will not buy the stock.

The shortest needed time for production from the raw till sold in the market is at 2004 with 6.33 days and 79.2 days collectiong payment. For late payments year 2006 is the best over all year with 6.99 days. The best value CCC is year 2004 which results as 75.43 days. It means that the company needs approximately 76 days to convert its current goods/product into cash.