What are your thoughts about a lender considering loaning $100,000 for a 5 - 10 year term to this company?
Provide a summary about your conclusion about Milavec, including whether or not you would recommend the lenders to loan the money. Provide the analytical tools you used (at least 3) that support your conclusion and recommendation. Be sure to include a description of your analysis in addition to computational work.
Thank you:)
LEXO XO X Conter X Tham M wal Mix www.view.usg.edu/d2/e/content/1927275/viewContent/29560138/View/ou 1927275 2018 2017 $900,000 $800,000 Sales Cost of goods sold Beginning inventory Purchases Goods available for sale Ending Inventory Cost of goods sold Gross margin Operating expenses Income before taxes Income taxes Net Income 43,000 637,000 680,000 70,000 610,000 290.000 248,000 42,000 17,000 25.000 40,000 483,000 523,000 43,000 480,000 320,000 280,000 40,000 18,000 22.000 oa w Twelry Lullillollel w.view.ung edu/ d e/content/1927275/viewContent/29560138/ViewTou-1927275 Cost of goods sold Gross margin Operating expenses Income before taxes Income taxes Net Income Plus: Retained earnings, beginning balance Less: Dividends Retained earnings, ending balance 610,000 290,000 248,000 42,000 17,000 25,000 480,000 320,000 280,000 40,000 18,000 22,000 137,000 130,000 15,000 $162,000 $137,000 . un O lder Contoh view.ug edu/d2V/le/content/1927275/ViewContent/29560138/View?u=1927275 Mew MILAVEC COMPANY Balance Sheets As of December 31 2018 2017 Assets Cash Marketable securities Notes receivable Accounts receivable Merchandise Inventory Prepaid expenses Property, plant, and equipment (net) $ 20,000 20,000 4,000 50,000 70,000 4,000 $ 17,000 22,000 3,000 56,000 43,000 4,000 340,000 310,000 PADA MO DI o ww.ung.edu/ d e/content/1927275/ViewContent/2956013B/View ou 1927275 340,000 $508,000 310,000 $455,000 Property, plant, and equipment (net) Total assets Llabilities and Stockholders' Equity Accounts payable Salaries payable Taxes payable Bonds payable, 8% Preferred stock, 6%, $100 par, cumulative Common stock, $10 par Retained earnings Total liabilities and stockholders' equity $ 40,000 2,000 4,000 100,000 $ 38,000 3,000 2,000 100,000 50,000 150,000 162,000 50.000 125,000 137,000 $508,000 $455.000 LEXO XO X Conter X Tham M wal Mix www.view.usg.edu/d2/e/content/1927275/viewContent/29560138/View/ou 1927275 2018 2017 $900,000 $800,000 Sales Cost of goods sold Beginning inventory Purchases Goods available for sale Ending Inventory Cost of goods sold Gross margin Operating expenses Income before taxes Income taxes Net Income 43,000 637,000 680,000 70,000 610,000 290.000 248,000 42,000 17,000 25.000 40,000 483,000 523,000 43,000 480,000 320,000 280,000 40,000 18,000 22.000 oa w Twelry Lullillollel w.view.ung edu/ d e/content/1927275/viewContent/29560138/ViewTou-1927275 Cost of goods sold Gross margin Operating expenses Income before taxes Income taxes Net Income Plus: Retained earnings, beginning balance Less: Dividends Retained earnings, ending balance 610,000 290,000 248,000 42,000 17,000 25,000 480,000 320,000 280,000 40,000 18,000 22,000 137,000 130,000 15,000 $162,000 $137,000 . un O lder Contoh view.ug edu/d2V/le/content/1927275/ViewContent/29560138/View?u=1927275 Mew MILAVEC COMPANY Balance Sheets As of December 31 2018 2017 Assets Cash Marketable securities Notes receivable Accounts receivable Merchandise Inventory Prepaid expenses Property, plant, and equipment (net) $ 20,000 20,000 4,000 50,000 70,000 4,000 $ 17,000 22,000 3,000 56,000 43,000 4,000 340,000 310,000 PADA MO DI o ww.ung.edu/ d e/content/1927275/ViewContent/2956013B/View ou 1927275 340,000 $508,000 310,000 $455,000 Property, plant, and equipment (net) Total assets Llabilities and Stockholders' Equity Accounts payable Salaries payable Taxes payable Bonds payable, 8% Preferred stock, 6%, $100 par, cumulative Common stock, $10 par Retained earnings Total liabilities and stockholders' equity $ 40,000 2,000 4,000 100,000 $ 38,000 3,000 2,000 100,000 50,000 150,000 162,000 50.000 125,000 137,000 $508,000 $455.000
