5. (22 points total) Assume you are a loan officer for a bank and Phoebe Buffay (Smelly Cat Farms) requests a loan based on her balance sheet shown below. i. i Conduct a ratio analysis ii. Assess each of the ratios financial condition (Poor/Fair/Good). iii. What is the weakest part of this balance sheet? iv. Will you grant or deny an additional loan? Give clear reasons as to how and why you made this decision. SHOW ALL WORK!!!! (no work, not credit) Assets Current assets $300,000 Intermediate assets $200,000 Fixed assets $1,020,000 Liabilities Current liabilities $280,000 Intermediate liabilities $80,000 Long-term liabilities $160,000 Total liabilities $520,000 Total assets Net worth Total liabilities + net worth $1,000,000 $1,520,000 $1,520,000 Calculate the ratios and specify their respective financial condition (Poor/Fair/Good) Current ratio (value and rating): b. Working capital(value and rating): c. Debt structure (value and rating): d. Debt to Asset ratio (value and rating): e. Equity to Asset ratio (value and rating): f. Debt to equity ratio (value and rating): g. What is the weakest part of the balance sheet? h. Would you loan to this farmer (why or why not)