The sole trader of Pentland Store has approached you for a loan. You note that the closing cash balances for the last two years were $10920 and $13650 respectively. Pentland Store also took out a loan of $22750 for the current year, and sold plant worth $54600 over the past two years. The cash from operating activities last year was negative $30940, and in the preceding year was $4550. Indicate whether you would advance the loan. Give reasons.