Question: 7 . Here is information from the most recent financial statements for your firm: The Income Statement reports a net income of $ 2 9

7. Here is information from the most recent financial statements for your firm:
The Income Statement reports a net income of $298,000.
The Balance Sheet show that Assets is $740,000, Liabilities is $125,000, and Equity is $615,000.
Your company maintains a 35% retention ratio.
If your firm wishes to maintain the same D/E ratio as last year, how much additional debt do you issue?

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