Chapter 4 Problem 10 -- Eight Ball Sporting Goods a. Use the information below from Eight Ball's annual financial statements to calculate the actual and sustainable growth rate for each year. b. Do you think Eight Ball Sporting Goods is having a problem financing its growth? Is the increase in dividends a good idea for Eight Ball?

Eight Ball Sporting Goods ($ in thousands)
	2003	2004	2005	2006	2007	2008
Sales	477.84	491.62	706.52	792.01	876.52	1,088.46
Net income	-	43.27	26.31	38.48	44.84	25.76
Total assets	-	477.06	648.42	664.26	697.16	982.63
Equity	-	346.32	426.01	465.85	432.91	553.27
Dividends	-	-	-	0.80	1.65	2.22