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The most recent financial statements for Hailey Co. are shown here: Income Statement Sales $49,800 Balance Sheet Current Long-term $ 27,300 assets debt Fixed assets
The most recent financial statements for Hailey Co. are shown here: Income Statement Sales $49,800 Balance Sheet Current Long-term $ 27,300 assets debt Fixed assets 120,500 Equity $ 59,600 Costs 23,800 88,200 Taxable income $26,000 Total $ 147,800 Total $147,800 Taxes (21%) 5,460 Net income $20,540 Assets and costs are proportional to sales. The company maintains a constant 25 percent 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? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Maximum increase in sales
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