Ed Eisler wants to open a café in Digby, Nova Scotia. In need of cash, he asks the Bankof Montreal for a loan. The bank requires financial statements to show likely results of operations for the year and the expected financial position at year-end. With little knowledge of accounting, Eisler doesn't understand the request. Explain to him the information provided by the income statement and the balance sheet. Indicate why a lender would require this information.