1. Case 1. One of your customers, Arash, is a 45-year-old man, married, with two children. He also has another two children from his first marriage. He has maintained an account in good standing with your bank, Ithmaar Bank, for the last 14 months. He is trying to set up a meeting with you regarding a proposal for a business loan. Arash has worked for the last 20 years in a well-established training and education institution in the Quality Assurance department. Arash wants to seize the opportunity to buy a small private nursery from a local resident who is looking to sell off the business. Arash thinks that he could use his extensive experience to get the business up and running and make good profit. Morevoer, it is also his passion. The business will be sold to him for BD50,000 and based on Arash's estimation, it would need another BD 25,000 for working capital. All of this money will borrowed from the bank. a) Using the seven-point approach of the canons of good lending, decide whether you as the lender would approve the loan? (8 marks) b) Use Porter's 5 forces to analyze the business Arash wants to establish. You are allowed to make your own assumptions if the information given is too limited (7 marks) c) How would the use of credit scoring models such as the FICO scorecard assist you in making a credit decision? (5 marks) d) In lending in general, what can be advised to the borrower in order for the lender to be more willing to approve a loan