Plank's Plants had net income of $3,000 on sales of $60,000 last year. The firm paid a dividend of $1,800. Total assets were $100,000, of which $40,000 was financed by debt.

a.What is the firm's sustainable growth rate?(Do not round intermediate calculations. Enter your answer as a percent rounded to 1 decimal place.)

Sustainable growth rate ______________________%

b.If the firm grows at its sustainable growth rate, how much debt will be issued next year?(Do not round intermediate calculations.)

New debt__________________________

c.What would be the maximum possible growth rate if the firm did not issue any debt next year?(Do not round intermediate calculations. Enter your answer as a percent rounded to 1 decimal place.)

Maximum growth rate _____________________%