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Problem 4-6 Calculating Internal Growth (LO5) The most recent financial statements for Burnaby Co. are shown here: Statement of Comprehensive Incone Sales $13,350 Costs 7.750
Problem 4-6 Calculating Internal Growth (LO5) The most recent financial statements for Burnaby Co. are shown here: Statement of Comprehensive Incone Sales $13,350 Costs 7.750 Taxable income $ 5,600 Taxes (40%) 2,240 Net income $ 3,360 Current assets Fixed assets Total Statement of Financial Position $10.700 Debt 25,750 Equity $36,450 Total $15,200 21,250 536,450 Assets and costs are proportional to sales. Debt and equity are not. Burnaby maintains a constant 40% dividend payout ratio. No external equity financing is possible. What is the internal growth rate? (Do not round intermedinte calculations and round your final answer to 2 decimal places.) Internal growth rate
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