Question
Odyssey, Inc. Sales$220,000 Net Income $14,800 Dividends $ 9,400 Total Debt $88,000 Total Equity $66,000 What is sustainable growth rate for the company? ( Do
Odyssey, Inc.
Sales$220,000
Net Income $14,800
Dividends $ 9,400
Total Debt $88,000
Total Equity $66,000
What is sustainable growth rate for the company?
( Do not round intermediate calculations and round your final answer to 2 decimal places.)
Sustainable growth rate___
If it does grow at this rate, how much new borrowing will take place in the coming year, assuming a constant debt-equity ratio?
( Do not round intermediate calculations and round your final answer to 2 decimal places.)
Additional borrowing___
What growth rate could be supported with no outside financing at all?
( Do not round intermediate calculations and round your final answer to 2 decimal places.)
Internal growth rate _____
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