1. Steven and a friend incorporated a company with RM2 issued share capital and each holds an RM1 share. They have no intention to increase the paid-up capital of the company soon until the company is fully operationalized with the successful application of a franchise license in Active Water. They have asked you to invest money in their company through a loan capital with a promising return of 10%. Explain whether you will lend money to Steven and his friends company. (30 marks)

Please give more explanation, will give you a vote!!!