Big Test Inc. had sales last year of $100mm. Sales are expected to grow 20% next year. To support the new sales level, the production manager has indicated that fixed assets will need to increase by $30mm. Last year's balance sheet showed the following:

• Current assets = $20mm
• Fixed assets = $90mm
• Accounts Payable = $10mm
• Notes Payable = $20mm
• Long-term Liabilities = $30mm
• Common Stock = $20mm
• Retained Earnings = $30mm

Assuming net margin will be 7% and that the dividend payout ratio will be 40%, what is the firm's DFN? BEWARE OF THE CHANGE IN ASSUMPTIONS FROM PREVIOUS PROBLEM! (Note: use the standard assumptions from lecture)

• $26.96mm
• $16.96mm
• $28.64mm
• $29.60mm