Refer to the following for questions 1 through 9 A company with $60 million in assets is funded with $40 million in equity and $20 million in debt. Last year it made $9 million in net income, 25% of which is paid as dividends. Net income increases at the same rate as assets and the company's current liabilities do not change as the company grows, meaning that it will be funding the growth with equity, debt, or a mix of equity and debt l. Calculate the company's debt to equity ratio, taking it to two decimal points (xx.xx%, or Calculate the company's Internal Growth Rate. 2. 3. Grow the company by the Internal Growth Rate and recalculate its debt to equity ratio. 4. Calculate the company's Sustainable Growth Rate. 5. Grow the company by the Sustainable Growth Rate and recalculate its debt to equity ratio 6. Grow the company by 12% and recalculate its debt to equity ratio. 7. Grow the company by 15% and calculate its debt to equity ratio when: a. It uses just additions to retained earnings and debt to fund the increase in assets. b. It uses all equity to fund the increase in assets. 8. What are two things the company can do if it grows at a rate less than the internal growth rate? 9. What can the company do if it wants to increase both its internal and sustainable growth rates? Use the following information for questions 10 through 13 A company is evaluating two different projects, both of which cost$25 million and last6 years Both projects have positive NPvs when using a cost of capital of 20%, and using that cost of capital makes Project A's Profitability Index 1.25 and Project B's Profitability Index 1.30. Their NPVs are the same when using a cost of capital of 14% 10. Which project has a higher IRR? 11. Which project has a higher NPV when the cost of capital used to find NPv is 12%