As a loan officer for Third Commercial Bank your job description includes evaluating and recommending approval...

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As a loan officer for Third Commercial Bank your job description includes evaluating and recommending approval of commercial and real estate loans. On your desk is a loan application from Avantgarde Manufacturing, a producer of household goods. Nine years ago, your bank declined a loan application from Avantgarde One, partially due to a debt ratio higher than the industry average. The average percentage of assets financed by liabilities rather than stockholders' equity for the manufacturing industry is 50%. The rationale for declining the previous loan request was that too much debt posed a risk of default. To assist you in your analysis of the current loan application, you have created a Tableau Dashboard depicting trends in assets, liabilities, and equity for the most recent ten years. TOTAL ASSETS Che Total Assets $900,000- $800,000 $700,000- $600,000- $500,000- $400,000 $300,000- $200,000- $100,000- 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 $1,000,000 ASSETS LIABILITIES + STOCKHOLDERS' EQUITY $800,000 $600,000 $400,000 < Prev 6 of 7 Next Total Assets $1,000,000 $800,000- $600,000 $400,000 $200,000 $800,000- $700,000- $600,000- $500,000- $400,000 $300,000 $200,000- $100,000 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 ASSETS LIABILITIES + STOCKHOLDERS' EQUITY 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Liabilities Shareholders' Equity Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Determine the following amounts. Assets in 2012 Assets in 2021 Required 1 Required 2 > As a loan officer for Third Commercial Bank your job description includes evaluating and recommending approval of commercial and real estate loans. On your desk is a loan application from Avantgarde Manufacturing, a producer of household goods. Nine years ago, your bank declined a loan application from Avantgarde One, partially due to a debt ratio higher than the industry average. The average percentage of assets financed by liabilities rather than stockholders' equity for the manufacturing industry is 50%. The rationale for declining the previous loan request was that too much debt posed a risk of default. To assist you in your analysis of the current loan application, you have created a Tableau Dashboard depicting trends in assets, liabilities, and equity for the most recent ten years. TOTAL ASSETS Che Total Assets $900,000- $800,000 $700,000- $600,000- $500,000- $400,000 $300,000- $200,000- $100,000- 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 $1,000,000 ASSETS LIABILITIES + STOCKHOLDERS' EQUITY $800,000 $600,000 $400,000 < Prev 6 of 7 Next Total Assets $1,000,000 $800,000- $600,000 $400,000 $200,000 $800,000- $700,000- $600,000- $500,000- $400,000 $300,000 $200,000- $100,000 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 ASSETS LIABILITIES + STOCKHOLDERS' EQUITY 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 Liabilities Shareholders' Equity Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Determine the following amounts. Assets in 2012 Assets in 2021 Required 1 Required 2 >

Answer rating: 100% (QA)

1 Review the loan application Carefully examine the loan application from Avantgarde Manufacturing to understand their current financial situation pro... View the full answer