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Intro Your company's most recent income statement and balance sheet are given below: Income statement ($ million) Sales 15 Costs 12 Net income 3 Balance
Intro Your company's most recent income statement and balance sheet are given below: Income statement ($ million) Sales 15 Costs 12 Net income 3 Balance sheet ($ million) Current assets 13 52 Fixed assets Total assets Debt 19.5 Equity 45.5 Total 65 65 Sales, assets and costs are expected to grow by the same rate next year, while company expects to keep its debt-equity ratio constant. The company is expected to pay NO dividends next year. Part 1 18 Attempt 1/10 for 10 pts. What is the particular growth rate for the next year, at which company will need zero external financing (EFN=O)? What is the sustainable growth rate? 3+ decimals Submit
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