Use the following information for problems 1 and 2: In 2017, Olde Towne Corporation (OTC) had sales of $35 million, net income of S5.6. million, and a dividend payout ratio of40%. The firm's total assets were $40 million and the firm had accounts payable and accruals of $7 million. All assets are presently being used at maximum capacity. 1: If OTC expects sales to increase by 30% next year, what will be the amount of discretionary financing needed? a. $5.53 million b. $6.82 million c. $7.03 million d. $7.93 million e. none of the above 2. What is Olde Towne's sustainable growth rate? a. 7.21% b. 8.93% . 97000 d. 11.34% e. none of the above