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Stile sustainable growth rate? 8. Sales and Growth (LO2) The most recent financial statements for Cariboo Co. are shown here: Statement of Comprehensive Incomat Statement
Stile sustainable growth rate? 8. Sales and Growth (LO2) The most recent financial statements for Cariboo Co. are shown here: Statement of Comprehensive Incomat Statement of Financial Position Sales $49,000 Current Assets $ 21,000 Long term Debt $ $1.00C Costs 37.500 Fixed Assets 86,000 Equity 56,000 Taxable income $1.500 Total S107.000 Total $107.000 Taxes (34%) 3.910 Net income $ 7.590 Assets and costs are proportional to sales. The company maintains a constant 30%, dividend payout ratio and a constant debt- equity ratio. What is the maximum increase in sales that can be sustained, assuming no new equity is issued
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