Income Statement				Balance Sheet
Sales	$	28,500		Assets	$	60,200		Debt	$	25,600
Costs		19,300						Equity		34,600
Taxable income	$	9,200		Total	$	60,200		Total	$	60,200
Taxes (40%)		3,680
Net income	$	5,520

Assets and costs are proportional to sales. Debt and equity are not. A dividend of $1,700 was paid, and Martin wishes to maintain a constant payout ratio. Next years sales are projected to be $35,625.