Do a trend analysis for 1988 through 1990 and common-size statements for 1988, 1989, 1990, and the first quarter of 1991. What does your analysis show?Is their profitability level acceptable? How can it be increases?Based on achieving $3.million in sales in 1991, do you agree with Mr. Butler's assessment of a non-to -exceed $465,000 short-term loan? Using the trend analysis and extrapolation of these trends through 1991, how much do you think he will need if it is different than the $465,000?Itemize any financial reserves you noted in the case. Has their financial flexibility changed? What if home Depot or Lowes moves in two miles away?What happens if Butler's growth exceeds the bank projections? How will this affect their stability?The bank asked you for a second opinion on the loan request. Would you approve the loan request? What changes in strategy would you recommend, if any?What alternatives you are open to Butler if the bank ultimately declines the loan?