Show below, the computed values for each years (2018 2020) annual growth rate in sales and in profits.If the typical firm in the industry operates at a debt ratio of 52 percent, and a compound annual growth in gross profits of 8 percent

Table 1 BearKat Books Income Statement (Selected Years) Sales COGS Gross Profit SGA & Depreciation Expenses EBIT Interest EBT Taxes Net Income 2017 2018 2019 2020 $ 3.800.000 S 4.180.000 $ 4.850,000 $ 6.000.000 2.460.000 2.975,000 3,200,000 4.180,000 $ 1,340,000 $ 1.205,000 $1,650,000 $ 1.820,000 684,000 820,000 898,408 1,015,467 S 656,000 $ 385,000 $ 751,592 $ 804,533 30,780 30.780 42,372 35,313 S 625,220 $ 354.220 $ 709,220 $ 769,220 187,566 106,266 212.766 230.766 S 437,654 $ 247.954 S 496,454 $ 538.454 Table 2 BearKat Books Balance Sheet (Selected Years) Cash Accounts Receivable Inventory Total Current Assets 2017 2018 2019 2020 $ 295,000 $ 326,040 $ 378,300 $ 468.000 11,400 12,540 20,700 18,000 950.000 1,028,595 1,559,407 1,735,207 1,256,400 1,367,175 1,958,407 2,221,207 Property. Plant. Equipment (net) Total Assets 450,000 501.600 501,600 503,000 $ 1,706,400 $ 1,868,775 $ 2.460,007 $ 2.724,207 Accounts Payable Notes Payable (Bank) Accrued Wages and Taxes Total Current Liabilities $ 152,000 $167,200 $ 190,000 $ 300,000 289,776 113,326 114,000 125.000 145.500 180,000 266,000 292,200 625,276 593,326 Long-term Debt Common Stock (120.000 Shares) Retained Earnings Total Liabilities and Equity 342.200 342,000 342,000 342.000 600,000 600,000 600,000 600,000 498,200 634,575 892,731 1,188,881 $ 1,706,400 $ 1,868,775 $2.460,007 $ 2,724,207