Rockway Framers Ltd. has requested a bank loan for a one-year period to refinance most of its notes payable. It would be supported by Rockway's current assets. The following statements and industry averages accompanied the loan request. 1. Prepare a statement of changes in financial position as at December 31, 2015, for Rockway, and complete a ratio analysis. Also prepare pro forma statements for 2016 on the basis of the same financial relationships as in 2015, no new capital asset purchases, and a sales increase of 25 percent. Recommend support or rejection of the loan request. 2. 3. ROCKWAY FRAMERS LTD. Balance Sheets December 31 2015 2014 Current assets: $1,300 $ 20,000 36,000 28,000 101,000 64,500 138,300 12,500 57,700 44500 222,000 155,000 85,000 62,000 $333,000 $250,000 Cash.. Accounts receivable....__ _ _. . . . _ _ _ . . . . _ _ _ . . Inventories . _ _ _ _ .. ._ _ . . ._ . _ _ _ _ . . . _ __ . . . Current liabilities: 48,77O $ 23.250 104,500 37,750 153,270 61.000 51,000 64,000 70,000 70,000 58,730 55,000 $333,000 $250,000 Total current liabilities..._ _ _ _ . _ _ _ . _ . . _ __