The most recent financial statements for Mandy Company are shown here: Income Statement Balance Sheet $11,740 Debt 27,000 Equity $ 38,740 Sales Costs Taxable income Taxes (25%) Net income $ 19,100 12,960 $ 6,140 Sustainable growth rate 1,535 $4,605 Current assets Fixed assets Total Total Assets and costs are proportional to sales. Debt and equity are not. The company maintains a constant 40 percent dividend payout ratio. What is the sustainable growth rate? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) % $15,820 22,920 $ 38,740

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Please I need fast answer sir and please plagiarism check no plagiarism please 

The most recent financial statements for Mandy Company are shown here:
Income Statement
Balance Sheet
$11,740 Debt
27,000 Equity
$ 38,740
Sales
Costs
Taxable income
Taxes (25%)
Net income
$19,100
12,960
$ 6,140
Sustainable growth rate
1,535
$ 4,605
Current assets
Fixed assets
Total
Total
Assets and costs are proportional to sales. Debt and equity are not. The company
maintains a constant 40 percent dividend payout ratio. What is the sustainable growth
rate? (Do not round intermediate calculations and enter your answer as a percent
rounded to 2 decimal places, e.g., 32.16.)
%
$15,820
22,920
$ 38,740
Transcribed Image Text:The most recent financial statements for Mandy Company are shown here: Income Statement Balance Sheet $11,740 Debt 27,000 Equity $ 38,740 Sales Costs Taxable income Taxes (25%) Net income $19,100 12,960 $ 6,140 Sustainable growth rate 1,535 $ 4,605 Current assets Fixed assets Total Total Assets and costs are proportional to sales. Debt and equity are not. The company maintains a constant 40 percent dividend payout ratio. What is the sustainable growth rate? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) % $15,820 22,920 $ 38,740
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