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Q2. The most recent financial statements of a company are shown here. Income Statement BALANCE SHEET Sales 82,250 Less: Costs Less: depreciation 45,660 9,500 Current

Q2. The most recent financial statements of a company are shown here.

Income Statement

BALANCE SHEET

Sales

82,250

Less: Costs

Less: depreciation

45,660

9,500

Current assets 20,640

Fixed assets 105,460

Current Liabilities 11,100

Long term Debt 30,000

Shareholder s Equity 85,000

EBIT

Interest paid

27,090

5,050

Taxable Income

Less : Taxes

22,040

8,816

Net income

13,224

Total Assets

126,100

Total liabilities & Shareholders equity

126,100

Dividend paid 5,000

Retained earnings 8,224

  1. What is the sustainable growth rate of the firm? (2 marks)

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