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Calculate financial ratios, how much is profit margin, asset turnover, ROE and ROA? And How much is the internal growth rate and sustainable growth rate?

  1. Calculate financial ratios, how much is profit margin, asset turnover, ROE and ROA? And How much is the internal growth rate and sustainable growth rate? If the company targets a 20% growth rate but wants to keep its current leverage ratio, how will the company finance the external fund needed?

Bigquiz Corporation

(in millions) ($ millions)

2018

2019

sales

550

cost of goods sold

400

depreciation

100

interest rate

10.0%

payout

40.0%

tax rate

30.0%

account receivable

26

30

cash

20

inventory

28

32

net fixed asset

300

345

account payable

20

25

note payable

10

10

long-term debt

100

120

common stock

60

60

retained earning

184

shares outstanding

10

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