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Here are the abbreviated financial statements for Planner's Peanuts: INCOME STATEMENT, 2019 Sales Cost Net income $ 3,000 2,300 $ 700 BALANCE SHEET, YEAR-END

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Here are the abbreviated financial statements for Planner's Peanuts: INCOME STATEMENT, 2019 Sales Cost Net income $ 3,000 2,300 $ 700 BALANCE SHEET, YEAR-END 2018 Assets $ 3,500 2019 $ 4,000 Total $ 3,500 $ 4,000 Debt Equity Total 2018 $ 833 2,667 2019 $ 1,000 3,000 $ 3,500 $ 4,000 Assume the payout ratio is 50%. a. Calculate the internal growth rate where no external debt or equity is to be issued. Note: Do not round intermediate calculations. Enter your answer as a whole percent. b. Calculate the sustainable growth rate where the firm maintains a fixed debt ratio but issues no equity. Note: Do not round intermediate calculations. Enter your answer as a whole percent. a. Internal growth rate b. Sustainable growth rate % %

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