You are recent hired as credit analyst for a local bank. An established customer of your bank, operating in the retail sector is requesting a large credit facility for property acquisition and submitted the following financials to you. Using the financials provided, answer the questions below. Year Ended 30-Jun-17 30-Jun16 30-Jun-15 Assets Current Assets Cash And Cash Equivalents Short Term Investments Net Roccivables Inventory Other Current Assets Total Current Assets Property Plant and Equipment Goodwill Intangible Assets Other Assets 10,714,000 6,447,000 8,256,000 20,478,000 2,115,000 49,010,000 9,232,000 3,044,000 3.866,000 539,000 3,906,000 8,851,000 2,900,000 3,881,000 13,491,000 1,614,000 48,737,000 11,004,000 2,346,000 3,309,000 499,000 4,920,000 20,982,000 20,610,000 3,987,000 23,421,000 1,566,000 70,566,000 12,210,000 2,326,000 3,115,000 569,000 3,603,000 Total Assets 69,597,000 70,815,000 92.389,000 Liabilities Current Liabilities Accounts Payable Other Current Liabilities 9,521,000 12.921,000 22,442,000 7.051.000 5,768,000 11,109,000 16,877,000 5.823.000 6,534,000 8,435,000 14,969,000 2.595,000 Total Current Liabilities Other Liabilities Total Liabilities 29,493,000 22.700,000 17,564,000 Stockholders' Equity Common Stock Retained Eamings Total Stockholder Equity 60.413.000 (12.298,000) 56,396,000 18,429,000 59,005,000 (18.901.000) 40.104,000 $95.000,599 48.115.000 74,825,000 $70,689,000 $85.500.000 Sales Net Income Applicable To Common Shares $19,599,000 SI5,254,000 $9.168.000 A B State the primary factor for the decline in total assets in 2016? (2 mark) The cash position increased from $8.8 million in 2016 to $10.7 million in 2017. Does this signal a strengthening in the liquidity position of the firm? Explain. (3 marks) List two strengths and two weaknesses of the borrower with regards to credit. (4 marks) Comment on the firm's profitability and asset utilization (use two ratios each) (6 marks) C D