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The most recent financial statements for GPS, Inc., are shown here: Income Statement Balance Sheet Sales $ 34,000 Assets$57,700 Debt $22,500 Costs 24,500 Equity$35,200 Taxable
The most recent financial statements for GPS, Inc., are shown here:
Income Statement Balance Sheet
Sales $ 34,000 Assets$57,700 Debt $22,500
Costs 24,500 Equity$35,200
Taxable income$9,500 Total$57,700 Total$57,700
Taxes (40%) 3,800
Net income $5,700
Assets and costs are proportional to sales. Debt and equity are not. A dividend of $2,000 was paid, and the company wishes to maintain a constant payout ratio. Next year
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