COMPUTERFIELD CORPORATION has the following financial statements for fiscal year 2017. The firm forecasts 20% sales growth next year and every item will grow accordingly., , EXCEPT that the debt will stay unchanged.

1) Is this growth feasible without external financing? If not, how much external financing is needed? 2) All conditions same, what growth rate can the firm achieve in 2018 without the external financing you just computed? In both 1) and 2), assume that firm pays NO dividend. 3) Re-do 2) if in 2018, dividend payout will be 30% of the Net Income. (bonus practice, actually you just need to slightly adjust your equation when dividend payout comes into play)

COMPUTERFIELD CORPORATION
Financial Statements
Income Statement 2017		Balance Sheet 12/31/2017
Sales	$1,000	Assets	$3,000	Debt	$1,500
Costs	800
Taxable income	200			Equity	1500
Taxes (20%)	40
Net income	$160	Total	$3,000	Total	$3,000