Can you explain the work for both questions, please?

Paul Sabin organized Sabin Electronics 10 years ago to produce and sell several electronic devices on which he had secured patents. Although the company has been fairly profitable, it is now experiencing a severe cash shortage. For this reason, it is requesting a $620,000 long-term loan from Gulfport State Bank, $160,000 of which will be used to bolster the Cash account and $460,000 of which will be used to modernize equipment. The company's financial statements for the two most recent years follow: During the past year, the company introduced several new product lines and raised the selling prices on a number of old product lines in order to improve its profit margin. The company also hired a new sales manager, who has expanded sales into several new territories. Sales terms are 2/10,n/30. All sales are on account. Present the balance sheet in common-size format. (Round your answers to 1 decimal place.) \begin{tabular}{|l|l|l|} \hline Req 1 & Req 2A Req 2B \\ \hline \end{tabular} Present the income statement in common-size format down through net income. (Round your answers to 1 decimal place.)