Problem 10 Intro Your company's most recent income statement and balance sheet are given below: Income statement ($ million) Sales 20 Costs 16 Net income 4 Balance sheet ($ million) Current assets 10.4 Fixed assets 41.6 Total assets 52 Debt 15.6 Equity 36.4 Total 52 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 pays out 80% of net income as dividends. Part 1 IB 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=0)? What is the sustainable growth rate? |4+ decimals Submit