CHRISTIAN KYLE L.

OBOZA
BSCPE301 / 07 ACTIVITY 1
P-M-I CHART
Instruction: Respond to the scenario below by using the P-M-I Chart. Write your
answers in the spaces provided. (20 points)
 In the Interesting box, write some facts about the specific financial statement.
Scenario: Shark Loans received a request for a construction loan from Wendy
Services Inc. This construction loan will be used to build their fifth branch in
Pasay. The company submitted its balance sheet and income statement. Help
Shark Loans choose which financial statement they would use as a basis on
whether they will accept or reject Wendy Services Inc.'s request. Refer to Page 2.
Justify your decision.
Response 1: Statement of Financial Position Response 2: Income

Plus Minus Plus Minus

the company's The Wendy Wendy Services, Based on the
annual sales Services Inc.'s Inc.'s financial current credit
figures are revenue decreased statements rating and
displayed, while from $651,990.00 reveal the projected
also highlighting in 2019 to financial service sales of
$514,745.00 in
the significance of performance of 60,000, the
2020. Moreover,
profit and their assets are the company, income
viability. equal to their including its statement is
liabilities and earnings and expected to
capital, suggesting expenses. The remain stable.
that the company is statements However, there
currently insolvent display the net is a significant
due to its income for the drop in net
outstanding debts. entire year, along sales from
with any gains or 500,000 in
losses incurred. 2019 to
250,000 in
2020, indicating
that the year
2020 is
approaching.
Interesting Interesting
- The company's service provider is making a - Wendy Services Inc.'s annual net income can
profit but does not have enough assets to be analyzed based on its financial statements.
repay any debt.

Decision
- to seek assistance from Wendy. The notion that competent management and skills can foster company
growth, even considering opposing evidence, motivated this decision.
Consequently, I feel confident in my ability to handle the situation.