Question
The most recent financial statements for Live Co. are shown here: Income Statement Balance Sheet Sales $19,000 Current assets $40,970 Debt $40,379 Costs 11,400 Fixed
| The most recent financial statements for Live Co. are shown here: |
| Income Statement | Balance Sheet | ||||
| Sales | $19,000 | Current assets | $40,970 | Debt | $40,379 |
| Costs | 11,400 | Fixed assets | 28,669 | Equity | 29,260 |
| Taxable income | $7,600 | Total | $69,639 | Total | $69,639 |
| Taxes (34%) | 2,584 | ||||
| Net income | $5,016 | ||||
| Assets and costs are proportional to sales. Debt and equity are not. The company maintains a constant 32 percent dividend payout ratio. No external equity financing is possible. |
| Required: |
| What is the sustainable growth rate? |
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Mortgage Ripoffs And Money Savers
Authors: Carolyn Warren
1st Edition
0470097833, 978-0470097830
