will upvote! need all requirments. thank you!!!

Venice InLine, Incorporated, was founded by Russ Perez to produce a specialized in-line skate he had designed for doing aerial tricks. Up to this point, Russ has financed the company with his own savings and with cash generated by his business. However, Russ now faces a cash crisis. In the year just ended, an acute shortage of high-impact roller bearings developed just as the company was beginning production for the Christmas season. Russ had been assured by his suppliers that the roller bearings would be delivered in time to make Christmas shipments, but the suppliers were unable to fully dellver on this promise. As a consequence, Venice inLine had large stocks of unfinished skates at the end of the year and was unable to fill all of the orders that had come in from retailers for the Christmas season. Consequently, sales were below expectations for the year, and Russ does not have enough cash to pay his creditors. Well before the accounts payable were due, Russ visited a local bank and inquired about obtaining a loan. The loan officer at the bank assured Russ that there should not be any problem getting a loan to pay off his accounts payable-providing that on his most recent the interest on the proposed loan. Russ promised to return later with a copy of his financial statements. Russ would like to apply for a $115,000 six-month loan bearing an interest rate of 10% per year. The unaudited financial reports of the company appear below: (dollars in thousands) This Year Last Year Assets Current assets: Cash Accounts receivable, net Inventory Prepaid expenses Total current assets property and equipment Total assets \begin{tabular}{rr} $116.4 & $245.0 \\ 90.0 & 105.0 \\ 290.0 & 150.0 \\ 20.0 & 53.0 \\ \hline 516.4 & 553.0 \\ 380.0 & 245.0 \\ \hline$896.4 & $798.0 \\ \hline \end{tabular} Liabilities and Stockholders' Equity Current liabilities: Accounts payable Accrued liabilities Total current liabilities Long-term 1iabilities Total liabilities Stockholders' equity: Common stock and additional paid-in capital Retained earnings Total stockholders' equity Total liabilities and stockholders' equity \begin{tabular}{rr} $261.0 & $165.0 \\ 35.0 & 55.0 \\ \hline 296.0 & 220.0 \end{tabular} Venice InLine, Incorporated Income Statement For the Year Ended December 31 (dollars in thousands) Sales (all on account) cost of goods sold Gross margin Selling and administrative expenses: selling expenses Administrative expenses Total selling and administrative expenses Net operating income \begin{tabular}{rr} & \\ \hline 296.0 & 220.0 \\ \hline \end{tabular} Interest expense Net income before taxes Income taxes (308) \begin{tabular}{rr} 150.0 & 150.0 \\ 450.4 & 428.0 \\ \hline 600.4 & 578.0 \\ \hline$896.4 & $798.0 \\ \hline \end{tabular} Required: 1-a. Based on the above unaudited financial statement of the current year calculate the following. - Current ratio - Acid-test ratio - Ratio of net operting income to loan interest 1-b. Based on the statement made by the loan officer, would the company qualify for the loan? 2. Last year Russ purchased and installed new, more efficient equipment to resylace an older plastic injection molding machine. Russ had originally planned to sell the old machine, but found that it is still needed whenever the plastic injection molding process is a bottleneck. When Russ discussed his cash flow problems with his brother-in-law, he suggested to Russ that the old machine be sold or at least reclassified as inventory on the balance sheet because it could be readily sold. At present, the machine is carried in the Property and Equipment account and could be soid for its net book vale of $95,000. The bank does not require audited financial statements. a. Calculate the following if the old machine is considered as inventory. b. Based on the 2a answer would the company qualify for the loan? c. Calculate the following if the old machine is sold off. d. Based on the 2c answer would the company qualify for the loan? 1-b. Based on the statement made by the loan officer, would the company qualify for the loan? 2. Last year Russ purchased and installed new, more efficient equipment to replace an older plastic injection molding machine. Rus had originally planned to sell the old machine, but found that it is still needed whenever the plastic injection molding process is a bottleneck. When Russ discussed his cash flow problems with his brother-in-law, he suggested to Russ that the old machine be sol at least reclassified as inventory on the balance sheet because it could be readily sold. At present, the machine is carried in the Property and Equipment account and could be sold for its net book value of $95,000. The bank does not require audited financial statements. a. Calculate the following if the old machine is considered as inventory. b. Based on the 2a answer would the company qualify for the loan? c. Calculate the following if the old machine is sold off. d. Based on the 2c answer would the company qualify for the loan? Answer is not complete. Complete this question by entering your answers in the tabs below. Based on the above unaudited financial statement of the current year calculate Ihe following: Current ratio Acid-test ratio Number of times of the net operating income to the interest on the proposed loan (Round your answers to 2 decimal places.) 1-b. Based on the statement made by the loan officer, would the company qualify for the loan? 2. Last year Russ purchased and installed new, more efficient equipment to replace an older plastic injection molding machine. Russ had originally planned to sell the old machine, but found that it is still needed whenever the plastic injection molding process is a bottleneck. When Russ discussed his cash flow problems with his brother-in-law, he suggested to Russ that the old machine be sold or at least reclassified. as inventory on the balance sheet because it could be readily sold. At present, the machine is carried in the Property and Equipment account and could be sold for its net book value of $95,000. The bank does not require audited financial statements. a. Calculate the following if the old machine is considered as inventory. b. Based on the 2 a answer would the company qualify for the loan? c. Calculate the following if the old machine is sold off. d. Based on the 2c answer would the company qualify for the loan? (x) Answer is not complete. Complete this question by entering your answers in the tabs below. Based on the statement made by the loan officer, would the company qualify for the loan? 1-b. Based on the statement made by the loan officer, would the company qualify for the loan? 2. Last year Russ purchased and installed new, more efficient equipment to replace an older plastic injection moiding machine. Russ had originally planned to sell the old machine, but found that it is still needed whenever the plastic injection molding process is a bottleneck. When Russ discussed his cash flow problems with his brother-in-law, he suggested to Russ that the old machine be sold or at least reclassified as inventory on the balance sheet because it could be readily sold. At present, the machine is carried in the Property and Equipment account and could be sold for its net book value of $95,000. The bank does not require audited financial statements. a. Calculate the following if the old machine is considered as inventory. b. Based on the 2a answer would the company qualify for the loan? c. Calculate the following if the old machine is sold off, d. Based on the 2c answer would the company qualify for the loan? (x) Answer is not complete. Complete this question by entering your answers in the tabs below. Last year Russ purchased and installed new, more efficient equipment to replace an older plastic injection molding machine. Russ had originally planned to sell the old machine, but found that it is still needed whenever the plastic injection molding process is a bottleneck. When Russ discussed his cash flow problems with his brother-in-iaw, he suggested to Russ that the old machine be sold or at least reclassified as inventory on the balance sheet because it could be readily sold. At present, the machine is carried in the Property and Equipment account and could be sold for its net book value of $95,000. The bank does not require audited financial statements. Calculate the following if the old machine is considered as inventory. (Round your answers to 2 decimal place.) 1-b. Based on the statement made by the loan officer, would the company qualify for the loan? 2. Last year Russ purchased and installed new, more efficient equipment to replace an older plastic injection molding mochine. Russ had originally planned to sell the old machine, but found that it is still needed whenever the plastic injection molding process is a bottleneck. When Russ discussed his cash flow problems with his brother-in-law, he suggested to Russ that the old machine be sold or at least reclassified as inventory on the balance sheet because it could be readily sold. At present, the machine is carried in the Property and Equipment account and could be sold for its net book value of $95,000. The bank does not require audited financial statements. a. Calculate the following if the old machine is considered as inventory. b. Based on the 2a answer would the company qualify for the loan? c. Caiculate the following if the old machine is sold off. d. Based on the 2c answer would the company qualify for the loan? A Answer is not complete. Complete this question by entering your answers in the tabs below. Last year Russ purchased and installed new, more efficient equipment to replace an older plastic injection molding machine. Russ had originally planned to sell the old machine, but found that it is stall needed whenever the plastic injection molding process is a bottieneck. When Russ discussed his cash flow problems with his brother-in-law, he suggested to Russ that the old machine be sald or at least reclassified as inventory on the balance sheet because it could be readily sold. At present, the machine is carried in the Property and Equipment account and could be sold for its net book value of $95,000. The bank does not require audited financial statements. Based on the 2a answer, would the company qualify for the loan? at least reclassified as inventory on the balance sheet because it could be readily sold. At present, the machine is carried in the Property and Equipment account and could be sold for its net book value of $95,000. The bank does not require audited financia. statements: a. Calculate the following if the old machine is considered as inventory. b. Based on the 2 a answer would the company qualify for the loan? c. Calculate the following if the oid machine is sold off. d. Based on the 2c answer would the company qualify for the loan? 8 Answer is not complete. Complete this question by entering your answers in the tabs below. Last year Russ purchased and installed new, more efficient equipment to replace an older plastic injection molding machine. Russ had originally planned to self the old machine, but found that it is still needed whenever the plastic injection molding process is a bottleneck. When Russ discussed his cash flow problems with his brother-in-law, he suggested to Russ that the oid machine be sold or at least reclassified as inventory on the balance sheet because it could be readily sold. At present, the machine is carried in the Property and Equipment account and could be sold for its net book value of $95,000. The bank. does not require audited financial statements. Calculate the following if the old machine is sold off. (Round your answers to 2 decimal place.) 1-b. Based on the statement made by the loan officer, would the company qualify for the loan? 2. Last year Russ purchased and installed new, more efficient equipment to replace an older plastic injection molding machine. Russ had originally planned to sell the old machine, but found that it is still needed whenever the plastic injection molding process is a bottleneck. When Russ discussed his cash flow problems with his brother-in-law, he suggested to Russ that the old machine be sold or at least reclassified as inventory on the balance sheet because it could be readily sold. At present, the machine is carried in the Property and Equipment account and could be sold for its net book volue of $95,000. The bank does not require audited financial statements. a. Calculate the following if the old machine is considered as inventory. b. Based on the 2a answer would the company qualify for the loan? c. Calculate the following if the old machine is sold off. d. Based on the 2c answer would the company qualify for the loan? 8 Answer is not complete. Complete this question by entering your answers in the tabs below. Last year Russ purchased and installed new, more efficient equipment to replace an older plastic injection molding machine. Russ had originally planned to sell the old machine, but found that it is still needed whenever the plastic injection molding process is a bottleneck. When Russ discussed his cash flow problems with his brother-in-law, he suggested to Russ that the old machine be sold or at least reclassified as inventory on the balance sheet because it could be readily sold. At present, the machine is carried in the Property and Equipment account and could be sold for its net book value of $95,000. The bank does not require audited financial statements. Based on the 2c answer, would the company qualify for the loan