Hibernia Bank should probably grant the extension of the loan, if it is really required, because the projected cash flows for 2024 and 2025 indicate that an adequate amount of cash will be generated from operations to finance the plant expansion and repay the loan. In actuality, there is some question whether Bradburn needs the extension because the excess funds generated from 2024 operations might cover the $70,000 loan repayment. However, Bradburn may want the loan extension to provide a cushion because its cash balance is low. The financial ratios indicate that Bradburn has a solid financial structure. If the bank wanted some extra protection, it could require Bradburn to restrict cash dividends for the next two years to the 2023 amount of $2.00 per share.