BottomsUp has applied for a $7 million loan at a local bank. If you were a bank risk analyst, would you give BottomsUp this loan? Briefly explain your answer

Income Statement (in millions) Revenues Cost of goods sold Gross profit SG&A EBITDA Depreciation EBIT Interest expense Pretax income Tax expense (25%) Net income 2018 20.50 13.33 7.18 4.1 3.08 1.03 2.05 0.125 1.93 0.48 1.44 2017 36.10 23.47 12.64 7.22 5.42 1.81 3.61 0.125 3.49 2016 52.80 34.32 18.48 10.56 7.92 2.64 5.28 0.125 5.16 1.29 0.87 2.61 3.87 Balance Sheet (in millions) 2018 2017 2016 Assets Cash Accounts receivable Inventories Current assets 5.20 10.70 3.30 19.20 7.80 6.30 2.10 16.20 9.40 4.10 1.50 15.00 Fixed assets (net of depreciation) Total Assets 3.20 22.40 4.23 20.43 6.03 21.03 Equity and Liabilities Account payables Short-term borrowing Current liabilities 1.45 0.61 2.06 0.97 0.54 1.51 0.65 0.31 0.96 Long-term borrowing Total liabilities 7.60 9.66 8.70 10.21 9.90 10.86 Equity Total Equity and Liabilities 12.74 22.40 10.22 20.43 10.17 21.03 Industry Average Ratios 2.30 1.20 52 days 4.85 75 days Current ratio Quick ratio Receivable days Inventory turnover Inventory days Current asset turnover Fixed asset turnover Total asset turnover Long-term debt to total debt Debt-to-equity ratio Gross profit ratio Net profit ratio Return on equity Return on total assets 3.00 2.00 1.10 24% 35% 40% 18% 22% 10%