Given the following information for Victory Stables, calculate their return on assets and equity and comment on the use of these ratios (why would we use them? what do they tell us?). Net income Interest expense Income tax expense Preferred dividends $50,000 8,500 15,250 2.500 Question 4 To expand its operation in Ontario, Dundar Mifflin has applied for a $3,500,000 loan from the bank According to Dundar Mifflin financial analyst, the company can only afford a marimum yearly loan payment of $1,000,000. The bank has offered Dundar Mifflin the following: Option 1: 3 year loan with an 8 percent interest rate Option 2: 4 year loan with a 10 percent interest rate Option 3:5 year loan with a 12 percent interest rate . Compute the loan payment under each option for year 1. 2. Which option should the company choose? Given the following information for Victory Stables, calculate their return on assets and equity and comment on the use of these ratios (why would we use them? what do they tell us?). Net income Interest expense Income tax expense Preferred dividends $50,000 8,500 15,250 2.500 Question 4 To expand its operation in Ontario, Dundar Mifflin has applied for a $3,500,000 loan from the bank According to Dundar Mifflin financial analyst, the company can only afford a marimum yearly loan payment of $1,000,000. The bank has offered Dundar Mifflin the following: Option 1: 3 year loan with an 8 percent interest rate Option 2: 4 year loan with a 10 percent interest rate Option 3:5 year loan with a 12 percent interest rate . Compute the loan payment under each option for year 1. 2. Which option should the company choose