Critically evaluate this loan request and recommend whether you would lend for this project

and the relevant conditions of the loan. Your answer must indicate the relevant facts of the

case; the appropriate concerns with this loan proposal and provide the relevant

recommendations.

\begin{tabular}{|l|r|r|r|r|} \hline Financed by: & \multicolumn{1}{|c|}{2021} & \multicolumn{1}{|c|}{2022} & 2023 & 2024 forecast \\ \hline Issued Share Capital & 60,000 & 100,000 & 100,000 & 100,000 \\ \hline Accumulated Reserves & 641,000 & 684,900 & 686,000 & 808,070 \\ \hline Profit and Loss Account & 43,900 & 1,100 & 122,070 & 250 \\ \hline Total Capital & 744,900 & 786,000 & 908,070 & 908,320 \\ \hline \multicolumn{4}{|l|}{} \\ \hline Total Assets & 1,307,800 & 1,398,100 & 1,682,000 & 2,081,290 \\ \hline \end{tabular} \begin{tabular}{|l|r|r|r|r|} \hline Profit \& Loss Account Summary & \multicolumn{1}{|c|}{} & \\ \hline & 2021 & \multicolumn{1}{|c|}{2022} & \multicolumn{1}{c|}{2023} & 2024 forecast \\ \hline Sales & 1,887,700 & 2,052,300 & 2,096,000 & 2,300,000 \\ \hline CostofGoodsSold(includinglabor) & 1,030,700 & 1,553,600 & 1,350,360 & 1,650,000 \\ \hline Sponsorships & 25,000 & 25,000 & 25,000 & 25,000 \\ \hline Iaterest & 23,630 & 25,497 & 38,670 & 71,850 \\ \hline Gross Profit & 832,000 & 473,700 & 720,640 & 625,000 \\ \hline Net Profit & 808,370 & 448,203 & 681,970 & 553,150 \\ \hline Dividends paid & 25,000 & 26,000 & 26,000 & 30,000 \\ \hline \end{tabular} Ratios and other information \begin{tabular}{|l|l|l|l|l|} \hline & \multicolumn{1}{|c|}{2021} & \multicolumn{1}{|c|}{2022} & \multicolumn{1}{|c|}{2023} & 2024 forecast \\ \hline Current Ratio I to & 1.56 & 1.44 & 1.51 & 1.50 \\ \hline Acid Test I to & 0.71 & 0.65 & 0.86 & 0.85 \\ \hline & 69.45 & 64.35 & 108.14 & 110.27 \\ \hline \end{tabular} \begin{tabular}{|l|r|r|r|r|} \hline Financed by: & \multicolumn{1}{|c|}{2021} & \multicolumn{1}{|c|}{2022} & 2023 & 2024 forecast \\ \hline Issued Share Capital & 60,000 & 100,000 & 100,000 & 100,000 \\ \hline Accumulated Reserves & 641,000 & 684,900 & 686,000 & 808,070 \\ \hline Profit and Loss Account & 43,900 & 1,100 & 122,070 & 250 \\ \hline Total Capital & 744,900 & 786,000 & 908,070 & 908,320 \\ \hline \multicolumn{4}{|l|}{} \\ \hline Total Assets & 1,307,800 & 1,398,100 & 1,682,000 & 2,081,290 \\ \hline \end{tabular} \begin{tabular}{|l|r|r|r|r|} \hline Profit \& Loss Account Summary & \multicolumn{1}{|c|}{} & \\ \hline & 2021 & \multicolumn{1}{|c|}{2022} & \multicolumn{1}{c|}{2023} & 2024 forecast \\ \hline Sales & 1,887,700 & 2,052,300 & 2,096,000 & 2,300,000 \\ \hline CostofGoodsSold(includinglabor) & 1,030,700 & 1,553,600 & 1,350,360 & 1,650,000 \\ \hline Sponsorships & 25,000 & 25,000 & 25,000 & 25,000 \\ \hline Iaterest & 23,630 & 25,497 & 38,670 & 71,850 \\ \hline Gross Profit & 832,000 & 473,700 & 720,640 & 625,000 \\ \hline Net Profit & 808,370 & 448,203 & 681,970 & 553,150 \\ \hline Dividends paid & 25,000 & 26,000 & 26,000 & 30,000 \\ \hline \end{tabular} Ratios and other information \begin{tabular}{|l|l|l|l|l|} \hline & \multicolumn{1}{|c|}{2021} & \multicolumn{1}{|c|}{2022} & \multicolumn{1}{|c|}{2023} & 2024 forecast \\ \hline Current Ratio I to & 1.56 & 1.44 & 1.51 & 1.50 \\ \hline Acid Test I to & 0.71 & 0.65 & 0.86 & 0.85 \\ \hline & 69.45 & 64.35 & 108.14 & 110.27 \\ \hline \end{tabular}