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You are a commercial loans officer at a major bank. It is February 1, 2021. Valentine Chocolate Shop, located in Regina, has approached you with a request for a loan. The company manager brought in a balance sheet and a listing of income statement account balances. The company's year-end is January 31. Prepare a report for your manager with the following: a. Complete an income statement in proper format. b. Is this a low or high-risk loan? c. Provide financial analysis on the balance sheet (ratios) d. Discuss any non-financial factors you may think are important. e. Recommend whether to provide the loan and why? Valentine Chocolate Shop Balance Sheet As of January 31, 2021 ASSETS LIABILITIES AND EQUITY Cash $128.228 Accounts payable Accounts receivable 228,280 Wages payable Inventory $42 480 Taxes payable Total Current Assets $398.988 Total Current Liabilities $156,080 $56,480 S134.000 $346,560 Store furnishings Accumulated depreciation $840,000 Long term debt (5504,000) Shareholders' equity $164,000 $224.428 TOTAL ASSETS $734,988 TOTAL LIABILITIES AND EQUITY 9734.988 Income Statement Accounts Salaries expense S248.616 Cost of goods sold $710,740 Depreciation expense $78.000 Sales revenue $1.244.523 Utilities $35,000 Office expenses $41,727 Income tax rate 22%

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