What were the amounts of total liabilities for cTek in 2012 and in 2021?

	$81,000 in 2012 and $86,000 in 2021radio button unchecked1 of 3 $98,000 in 2012 and $194,000 in 2021radio button unchecked2 of 3 $100,000 in 2012 and $200,000 in 2021radio button unchecked3 of 3

How would you describe the change in cTeks capital structure over the past ten years?

	The amount of the companys debt has almost doubled. radio button unchecked1 of 3 The amount of the companys shareholders equity has almost doubled. radio button unchecked2 of 3 The amounts of the companys debt and shareholders equity have risen by approximately the same percentages. radio button unchecked3 of 3

• Required 1

Which conclusion would you draw from the changes in cTeks capital structure over the past ten years.

	Other things equal, risk of default is declining. radio button unchecked1 of 3 The amount of the companys debt is increasing, but in the same proportion as the rise in equity. radio button unchecked2 of 3 An increase in the debt to equity ratio indicates a potential for higher risk of default.

What do you take away from the graph of cTeks Times Interest Earned ratio?

	cTeks financial leverage is increasing and favorable. radio button unchecked1 of 3 The margin of safety to creditors and potential lenders is deteriorating. radio button unchecked2 of 3 Looked at in combination with the return on assets, cTeks ability to pay fixed charges in the future is compelling.

What were the rate of return on assets and the rate of return on equity in 2021?

	Rate of return on assets, 4.82%; rate of return on equity, 15.64%radio button unchecked1 of 3 Rate of return on assets, 15.64%; rate of return on equity, 4.82%radio button unchecked2 of 3 Rate of return on assets, 5%; rate of return on equity, 16%

What overall assessment would you provide the senior loan officer regarding cTeks ability to repay a loan if granted?

	Profitability is increasing, but so is the risk of default.radio button unchecked1 of 3 Risk ratios are providing conflicting signals and rates of return are declining. radio button unchecked2 of 3 Risk is increasing while profitability is declining.

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You recently were hired by First Vigilant Bank as the assistant loan officer. Your job description Includes evaluating and recommending approval of commercial, real estate, or credit loans. During your first week on the job, the senior loan officer asks you for a second opinion on a loan application from cTek Corporation, a provider of technology products and services for business, government and education. One reason for your boss's request is a discrepancy between recent debt levels of cTek and those that existed when the company last made a loan request a few years ago. To assist you in your analysis, you have created a Tableau Dashboard depicting trends in risk and profitability ratios for the most recent ten years. Debt to Equity Total stockholders will Det to Fly $250K 2.00 $200K 1.30 SISOK Del to buy 1.00 $100K 0.50 SSOK SOK DOO 2011 2012 2013 2014 2015 2016 2017 2016 2019 2020 2021 2022 Return on Assets vs Return on Equity 2012 2013 2014 2015 2016 2017 ROA ROF 2019 Times Interest Earned 2018 2020 2021 6.00 2095 5.00 15% 4.00 3.00 10% 2.00 59 1.00 0.00 09 2012 2014 2016 2018 2020 ROAROE RORO ROAROE ROAROE ROAROE RORO ROAROE ROAROE RORO ROAROE 1 #tableau Drawing from the data available, assess the following: Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 What overall assessment would you provide the senior loan officer regarding cTek's ability to repay a loan if granted? You recently were hired by First Vigilant Bank as the assistant loan officer. Your job description Includes evaluating and recommending approval of commercial, real estate, or credit loans. During your first week on the job, the senior loan officer asks you for a second opinion on a loan application from cTek Corporation, a provider of technology products and services for business, government and education. One reason for your boss's request is a discrepancy between recent debt levels of cTek and those that existed when the company last made a loan request a few years ago. To assist you in your analysis, you have created a Tableau Dashboard depicting trends in risk and profitability ratios for the most recent ten years. Debt to Equity Total stockholders will Det to Fly $250K 2.00 $200K 1.30 SISOK Del to buy 1.00 $100K 0.50 SSOK SOK DOO 2011 2012 2013 2014 2015 2016 2017 2016 2019 2020 2021 2022 Return on Assets vs Return on Equity 2012 2013 2014 2015 2016 2017 ROA ROF 2019 Times Interest Earned 2018 2020 2021 6.00 2095 5.00 15% 4.00 3.00 10% 2.00 59 1.00 0.00 09 2012 2014 2016 2018 2020 ROAROE RORO ROAROE ROAROE ROAROE RORO ROAROE ROAROE RORO ROAROE 1 #tableau Drawing from the data available, assess the following: Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Required 5 Required 6 What overall assessment would you provide the senior loan officer regarding cTek's ability to repay a loan if granted