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 8% and that the dividend payout ratio will be 50%, what is the forcast level of Retained Earnings for next year? (Note: use the standard assumptions from lecture) $31.8mm $33.6mm $34.8mm $39.6mm