3. Total assets $6.873 Total liabilities. & equity $6.873 Assets, accounts payable and costs are proportional to sales. Debt and equity are not. 1. What is the sustainable rate of growth for Douglass Enterprises? a. 8.50% b. 8.69% C. 9.22% d. 15.02% e. 7.84% 2. The sales of Douglass Enterprises are expected to increase by 7% next year. The dividend payout ratio is to be held constant. What is the addition to retained earnings? $325 a. b. $437 c. $475 d. $518 e. $305 a. The sales of Douglass Enterprises are expected to increase by 7% next year. The firm is currently producing at full capacity. Management wants to maintain a constant dividend payout ratio. What is the external financing needed? $325 b. $139 C. $562 d. $925 e. -$325 lc