Question

You’ve collected the following information about Odyssey, Inc.:   Sales $ 241,813   Net income $ 10,096   Dividends...

You’ve collected the following information about Odyssey, Inc.:

  Sales $ 241,813
  Net income $ 10,096
  Dividends $ 4,376  
  Total debt $ 95,501  
  Total equity $ 63,883  

If the company grows at the sustainable growth rate, how much new borrowing will take place in the coming year, assuming a constant debt–equity ratio? (round 2 decimal places)

Homework Answers

Answer #1

calc:-

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
You’ve collected the following information about Odyssey, Inc.: Sales $ 207748 Net income $ 10537 Dividends...
You’ve collected the following information about Odyssey, Inc.: Sales $ 207748 Net income $ 10537 Dividends $ 4301 Total debt $ 87359 Total equity $ 62684 If the company grows at the sustainable growth rate, how much new borrowing will take place in the coming year, assuming a constant debt–equity ratio?
You’ve collected the following information about Odyssey, Inc.:   Sales $ 209137   Net income $ 14526   Dividends...
You’ve collected the following information about Odyssey, Inc.:   Sales $ 209137   Net income $ 14526   Dividends $ 3887     Total debt $ 55951     Total equity $ 68786   If the company grows at the sustainable growth rate, how much new borrowing will take place in the coming year, assuming a constant debt–equity ratio? (Omit the "$" sign and commas in your response. Enter your answer rounded to 2 decimal places. For example, $1,200.456 should be entered as 1200.46.)
You’ve collected the following information about Odyssey, Inc.:   Sales $ 200274   Net income $ 10254   Dividends...
You’ve collected the following information about Odyssey, Inc.:   Sales $ 200274   Net income $ 10254   Dividends $ 3231     Total debt $ 72046     Total equity $ 62690   If the company grows at the sustainable growth rate, how much new borrowing will take place in the coming year, assuming a constant debt–equity ratio? (Omit the "$" sign and commas in your response. Enter your answer rounded to 2 decimal places. For example, $1,200.456 should be entered as 1200.46.)
You’ve collected the following information about Erna, Inc.: Sales = $ 305,000 Net income = $...
You’ve collected the following information about Erna, Inc.: Sales = $ 305,000 Net income = $ 18,200 Dividends = $ 7,000 Total debt = $ 65,000 Total equity = $ 96,000 What is the sustainable growth rate for the company? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)    Sustainable growth rate             %    Assuming it grows at this rate, how much new borrowing will take place in the...
You’ve collected the following information about Draiman, Inc.: Sales $ 230,000 Net income $ 15,200 Dividends...
You’ve collected the following information about Draiman, Inc.: Sales $ 230,000 Net income $ 15,200 Dividends $ 9,600 Total debt $ 92,000 Total equity $ 68,000 1. What is the sustainable growth rate for the company? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Sustainable growth rate % 2. If it does grow at this rate, how much new borrowing will take place in the coming year, assuming a constant...
You’ve collected the following information about Odyssey, Inc.:   Sales $ 222,564   Net income $ 12,555   Dividends...
You’ve collected the following information about Odyssey, Inc.:   Sales $ 222,564   Net income $ 12,555   Dividends $ 7,014     Total debt $ 53,387     Total equity $ 69,215   What growth rate could be supported with no outside financing at all? (in %) (round 4 decimal places)
You've collected the following information about Molino, Inc.: Sales $ 215,000 Net income $ 17,300 Dividends...
You've collected the following information about Molino, Inc.: Sales $ 215,000 Net income $ 17,300 Dividends $ 9,400 Total debt $ 77,000 Total equity $ 59,000 a. What is the sustainable growth rate for the company? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) b. If it does grow at this rate, how much new borrowing will take place in the coming year, assuming a constant debt-equity ratio? (Do...
You' ve collected the following information about St. Pierre, Inc.:   Sales $150,000   Net income $18,000   Dividends...
You' ve collected the following information about St. Pierre, Inc.:   Sales $150,000   Net income $18,000   Dividends $10,000   Total debt $89,000   Total equity $57,000 Required: (a) The sustainable growth rate for St. Pierre, Inc. is percent. (Do not include the percent sign (%). Round your answer to 2 decimal places. (e.g., 32.16)) (b) If it does grow at this rate, $ in new borrowing will take place in the coming year, assuming a constant debt-equity ratio. (Do not include the dollar...
You’ve collected the following information about Sully, Inc.: Profit margin = 4.43 % Total asset turnover...
You’ve collected the following information about Sully, Inc.: Profit margin = 4.43 % Total asset turnover = 3.40 Total debt ratio = .26 Payout ratio = 28 % What is the sustainable growth rate for the company? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)    Sustainable growth rate              %    What is the ROA? (Do not round intermediate calculations and enter your answer as a percent rounded to...
Narrow Falls Lumber has total assets of $913,600, total debt of $424,500, net sales of $848,600,...
Narrow Falls Lumber has total assets of $913,600, total debt of $424,500, net sales of $848,600, and net income of $94,000. The tax rate is 21 percent and the dividend payout ratio is 30 percent. What is the firm's sustainable growth rate? Assuming all external funds will come from debt, will the firm’s debt-equity ratio change if it grows at the sustainable growth rate? (Hint: Need to compute Total Equity, ROE, and the fraction reinvested. Choose closest answer if necessary)....