The most recent financial statements for Live Co. are shown here: Income StatementBalance Sheet Sales$19,000
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Question:
The most recent financial statements for Live Co. are shown here:
Income StatementBalance Sheet Sales$19,000 Current assets$40,970 Debt$40,379 Costs11,400
Fixed assets28,669 Equity29,260 Taxable income$7,600 Total$69,639
Total$69,639
Taxes (33%)2,508 Net income$5,092
Assets and costs are proportional to sales. Debt and equity are not. The company maintains a constant 34 percent dividend payout ratio. No external equity financing is possible.
Required: What is the sustainable growth rate?
Related Book For
Supply Chain Management Strategy Planning and Operation
ISBN: 978-0133800203
6th edition
Authors: Sunil Chopra, Peter Meindl
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