Question
IZA, Company, has the following items on its balance sheet; Assets Liabilities and Equity Cash $50,000 Debt $100,000 PPE $350,000 Equity $300,000 Its net income
IZA, Company, has the following items on its balance sheet;
| Assets | Liabilities and Equity | ||
| Cash | $50,000 | Debt | $100,000 |
| PPE | $350,000 | Equity | $300,000 |
Its net income this year is $20,000 and it pays dividends of $5,000. If it grows at its internal growth rate, what will its debt/equity ratio be, next year?
What is:
Internal Growth Rate?
Ending total assets?
Debt/equity ratio?
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Personal Finance Turning Money Into Wealth
Authors: Arthur J Keown
5th Edition
0136070620, 9780136070627
