for purchases. Mr$.$ Vehlim wants to use the line of credit to supplant a large portion of the firm's payables during the summer, which is the firm's peak seasonal sales period. Jan Fama, associate credit analyst for the Merchants National Bank of Midland, Michigan, was assigned the task of analyzing Jarmon's loan request.

a$.$ Calculate the following financial ratios for $2013$ :

b$.$ Which of the ratios calculated in part $($a$)$ do you think should be most crucial in determining whether the bank should extend the line of credit?

c$.$ Use the information provided by the financial ratios and industry$-$norm ratios to decide if you would support making the loan. Discuss the basis for your recommendation.