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Planks Plants had net income of $6,000 on sales of $90,000 last year. The firm paid a dividend of $2,100. Total assets were $500,000, of

Planks Plants had net income of $6,000 on sales of $90,000 last year. The firm paid a dividend of $2,100. Total assets were $500,000, of which $350,000 was financed by debt.

A. What is the sustainable growth rate?

B. How much debt will be issued next year (new debt)

C. What is the maximum growth rate?

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