2 de 2 Debr analyeir Speingfield Bank ia coaluating Creek Enterprives, which has requested a \$4,000,000 loan, to aises the firm's financial leverage and financial risk. On the basis of the dete ratios for Creck, along with the industry average and Creek's recent financial statements (following), evaluate and recommend appropriate action on the loan requent. \begin{tabular}{|c|c|} \hline \multicolumn{2}{|l|}{\begin{tabular}{l} Conk Enterprise Income Stanenent \\ for the Yer Ended December 11, 2019 \end{tabular}} \\ \hline Sales manuir & $30,000,000 \\ \hline Lens. Cout of goods nold & 21,000,000 \\ \hline Grow profin & $9,000,000 \\ \hline \multicolumn{2}{|l|}{ Lese Operating expenses } \\ \hline Selling expense & 5,3,000,000 \\ \hline Gentral and adminiutrative expenies & 1,800,000 \\ \hline Lease expenie & 200,000 \\ \hline Depenciation expence & 1,000,000 \\ \hline Total operating expenae & $,6,000,000 \\ \hline \begin{tabular}{l} Operacing peofin \\ Les: Interent crpense \end{tabular} & $3,000,000 \\ \hline \begin{tabular}{l} Lesi Interent expense \\ Net profirs beforn \end{tabular} & 1,000,000 \\ \hline Net profirs before axn & 52,000,000 \\ \hline Lese Taves (rate =21% ) & 420,000 \\ \hline \begin{tabular}{l} Ner profits after taxe \\ Lese Preferend atoct dividuth \end{tabular} & 51,580,000 \\ \hline & 100,000 \\ \hline Eamings avaluble foe cammon stockholden & 51,400,000 \\ \hline \end{tabular} 127