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Mzansi Commodities has sales of R180,000, net profit after tax of R14 400, total assets of R280,000, total equity of R200,000, and paid R5 760
Mzansi Commodities has sales of R180,000, net profit after tax of R14 400, total assets of R280,000, total equity of R200,000, and paid R5 760 in dividends. The firm maintains a constant dividend payout ratio. The firm is currently operating at full capacity. All costs and assets vary directly with sales. The firm does not want to obtain any additional external equity. At the sustainable rate of growth, how much new total debt must the firm acquire?
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