Problem 4-6 Calculating Internal Growth [LO3] The most recent financial statements for Live Co. are shown here: Income Statement Balance Sheet Sales $ 16,300 Current assets $ 10,900 Debt $ 15,400 Costs 11,700 Fixed assets 26,250 Equity 21,750 Taxable income $ 4,600 Total $ 37,150 Total $ 37,150 Taxes (40%) 1,840 Net income $ 2,760 Assets and costs are proportional to sales. Debt and equity are not. The company maintains a constant 20 percent dividend payout ratio. No external financing is possible. What is the internal growth rate? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16)) Internal growth rate % 2. Problem 4-7 Calculating Sustainable Growth [LO3] The most recent financial statements for Live Co. are shown here: Income Statement Balance Sheet Sales $ 16,200 Current assets $ 10,600 Debt $ 15,100 Costs 12,400 Fixed assets 25,500 Equity 21,000 Taxable income $ 3,800 Total $ 36,100 Total $ 36,100 Taxes (40%) 1,520 Net income $ 2,280 Assets and costs are proportional to sales. Debt and equity are not. The company maintains a constant 25 percent dividend payout ratio. No external equity financing is possible. What is the sustainable growth rate? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16)) Sustainable growth rate % 3. Problem 4-8 Sales and Growth [LO2] The most recent financial statements for Mc Govney Co. are shown here: Income Statement Balance Sheet Sales $ 52,600 Current assets $ 23,200 Long-term debt $ 54,000 Costs 42,300 Fixed assets 93,000 Equity 62,200 Taxable income $ 10,300 Total $ 116,200 Total $ 116,200 Taxes (34%) 3,502 Net income $ 6,798 Assets and costs are proportional to sales. The company maintains a constant 40 percent dividend payout ratio and a constant debt–equity ratio. What is the maximum increase in sales that can be sustained assuming no new equity is issued? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16)) Maximum increase in sales $ 4. Problem 4-16 Full-Capacity Sales [LO1] Alter Bridge Mfg., Inc., is currently operating at only 78 percent of fixed asset capacity. Current sales are $840,000. How fast can sales grow before any new fixed assets are needed? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16)) Maximum sales growth % 5. Problem 4-17 Fixed Assets and Capacity Usage [LO1] Alter Bridge Mfg., Inc., is currently operating at only 88 percent of fixed asset capacity. Current sales are $760,000. Fixed assets are $460,000 and sales are projected .