Accounting -- Company Profile, Cash Flows (ABC Company) Name Course Instructor Date Introduction ABC Company is manufacturing roofing materials and is now in the process of using shingle scrap materials in the creation of cedar dollhouses. The management makes a decision on the viability of this option based on the cost analysis. Focusing on the variable costs shows the impact of changes in the output level on the overall costs. The raw materials are time intensive and are also an important component of the inventory. However, the company is also affected by the external factors including the macroeconomic factors that affect the real estate market and the roofing contractors industry. ABC should be able to meet the financial obligations as they fall due, and the cash flow analysis shows the sources and uses of cash flow this makes it easier for the management to determine whether to change the divided policy can easily be changed unlike the other factors affecting the cash statement. The viability of the project is also evaluated by taking into account the NPV capital budgeting technique. The NPV is one such approach that helps to determine the future cash flows and resulting present value based on a specified rate of return. This paper assesses the viability of investing in an expansion project while also conducting a risk analysis on ABC Company, cost analysis and cash flow statement analysis 1] Risk profile The manufacture of cedar roofing and siding shi...