Case Study of XYZ College

By: Kate O. Pantinople

1. Will the bank approved the loan proposed for XYZ College (Yes/No). Please
support your answer.
Yes, the bank will grant or approve the loan because XYZ College can pay the
liability because they have a total area of 9,982 square meters for collateral.
According to PACIT Credit investigation, it has no negative findings for the last 5
years. Also, XYZ college has a competitive advantage over other private colleges in
Davao City. Moreover, XYZ college has a well-defined source of repayment because
the school sources it’s revenue from tuition and other school fees.
2. SWOT ANALYSIS
STRENGTH
• It has a competitive advantage among private college in terms of affordability.
• One of the top colleges being considered especially by the lower and middle income families.
WEAKNESSES
• It has limited availability for SHS.
• Experience lowest number of enrollees for 2 years.
OPPORTUNITY
• Debt to- equity ratio will be highest in 2022 at 79:21.
• K-12 implementation could have a higher population enrollees.
THREAT
• It has an issue and pending investigation about the book supplies
• It’s vulnerability to the financial impact of the K-12 stems from the fact that its biggest
population had always been in the college.