smiley corp and tsang inc were organized in 2005 both companies operate in the same line of business/

Required:
1. Eric Frechette wants to invest in one of these two companies by purchasing all of its shares. As a financial adviser to Mr. Frechette, which company would you select as an investment? Provide justification for your selection.
2. Each company applied to Development Bank for a loan of $ 20,000, payable in four months. As a bank loan officer, would you lend each company the requested amount? Explain.