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S04-21 Sustainable Growth and Outside Financing (LO3] You've collected the following information about Caccamisse, Incorporated: Sales Net income Dividends Total debt Total equity $ 255,000

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S04-21 Sustainable Growth and Outside Financing (LO3] You've collected the following information about Caccamisse, Incorporated: Sales Net income Dividends Total debt Total equity $ 255,000 $ 19,200 $ 7,500 $ 67,000 $ 77,000 a. What is the sustainable growth rate for the company? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. If it does grow at this rate, how much new borrowing will take place in the coming year, assuming a constant debt-equity ratio? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) c. What growth rate could be supported with no outside financing at all? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) % a. Sustainable growth rate b. Additional borrowing c. Internal growth rate %

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