I'm taking the quiz 2 on the FNCE370 course. I have questions that I don't know how did they get that number and would need help how they came up with the answers:

1 The following information is available regarding XYZ Co.

Sales = $110,000

Net Income = $15,000

Dividends = $6,000

Total debt = $65,000

Total Equity = $32,000

What growth rate can be supported without outside financing?

2 VWX Inc., has sales of $200,000 net income of $35,000, dividend payout of 50%, total assets of $350,000 and target debt-equity ratio of 1.50. If the company grows at its sustainable growth rate in the coming year, how much new borrowing (to the nearest dollar) will take place?

3 XyZ Ltd has sales of $1,000,000, retention ratio of 60%, equity multiplier of 2.50, dividends of $30,000, and equity of $312,500. What is the growth rate that the firm can achieve without outside financing?

4 WVU Corporatoin has a sustainable growth rate of 12.50%, total assets to sales ration of 1.50, profit margin of 10%, and dividend payout of 50%. What is the firm's target D/E ratio?

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