Question
?Jan Fama, associate credit analyst for the Merchants National Bank of Midland,Michigan, was assigned the task of analyzing Jarmons loan request. a. Calculate the financial
?Jan Fama, associate credit analyst for the Merchants National Bank of Midland,Michigan, was assigned the task of analyzing Jarmons loan request.
a. Calculate the financial ratios for 2013 corresponding to the industry norms provided as follows:
B. Which of the ratios reported in the industry norms do you feel should be most crucial in determining whether the bank should extend the line of credit?
C.) Prepare Jarmons statement of cash flows for the year ended December 31,2013.Interpret your findings.
D.) Use the information provided by the financial ratios and the cash flow statement to decide if you would support making the loan.
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