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Business, 18.07.2020 21:01 danjan9084

Assets and costs are proportional to sales. Debt and equity are not. The company maintains a constant 30 percent dividend payout ratio. No external equity financing is possible. What is the sustainable growth rate?Income StatementSales $17,900Costs 11,900Taxable income $6,000Taxes (40%) 2,400Net income $3,600Balance SheetCurrent assets $11,600Debt $16,100Fixed assets 28,000Equity 23,500Total $39,600

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