Question
The most recent financial statements for Shinoda Manufacturing Co. are shown below: Income Statement Balance Sheet Sales $ 64,300 Current assets $ 28,500 Debt $
The most recent financial statements for Shinoda Manufacturing Co. are shown below:
Income Statement | Balance Sheet | |||||||
Sales | $ | 64,300 | Current assets | $ | 28,500 | Debt | $ | 44,700 |
Costs | 44,630 | Fixed assets | 81,400 | Equity | 65,200 | |||
Taxable income | $ | 19,670 | Total | $ | 109,900 | Total | $ | 109,900 |
Tax (40%) | 7,868 | |||||||
Net Income | $ | 11,802 | ||||||
Assets and costs are proportional to sales. Debt and equity are not. The company maintains a constant 44 percent dividend payout ratio. No external financing is possible. What is the ROA? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) ROA % What is the internal growth rate? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Internal growth rate %
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