Just Problem 7. Thanks!

Text problem 6 Calculating Internal Growth: The most recent financial statements for Mandy Co. are shown below: Income Statement Balance Sheet Sales $ 16,400.00 Current Assets $ 11,200.00 Debt $13,500.00 Costs $ 11,200.00 Fixed Assets $ 24,300.00 Equity $21,900.00 Taxable income $ 5,200.00 Tax expense (21%) $ 1,092.00 Total Assets $ 35,500.00 Total $35,500.00 Net Income 5 4,108.00 Assets and costs are proportional to sales. Debt and equity are not. The company maintains a constant 30% dividend payout ratio. What is the internal growth rate? Return on assets 11.57% Return on ratio 70.00% Internal growth rate 8.81% Text problem 7 Calculating SGR: For the company in problem 6, what is the sustainable growth rate