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The most recent financial statements for Shinoda Manufacturing Co. are shown below: Income statement Balance Sheet Sales 63,400 Current Assets 24,000 Debt = 40,200 Costs
The most recent financial statements for Shinoda Manufacturing Co. are shown below:
Income statement | Balance Sheet | |||
Sales | 63,400 | Current Assets | 24,000 | Debt = 40,200 |
Costs | 45,080 | Fixed Assets | 76,900 | Equity = 60,700 |
Taxable Income | 18,320 | Total | 100,900 | Total = 100,900 |
Tax (35%) | 6,412 | |||
Net Income | 11,908 |
Assets and costs are proportional to sales. Debt and equity are not. The company maintains a constant 35 percent dividend payout ratio. No external equity financing is possible. What is the sustainable growth rate? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Sustainable growth rate %
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