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Big Test Inc. had sales last year of $100mm. Sales are expected to grow 20%...

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Big Test Inc. had sales last year of $100mm. Sales are expected to grow 20% next year. To support the new sales level, the production manager has indicated that fixed assets will need to increase by $30mm. Last year's balance sheet showed the following: = o Current assets = $20mm o Fixed assets = $90mm Accounts Payable = $10mm Notes Payable = $20mm 0 Long-term Liabilities = $30mm o Common Stock = $20mm o Retained Earnings = $30mm = = Assuming net margin will be 7% and that the dividend payout ratio will be 40%, what is the firm's DFN? BEWARE OF THE CHANGE IN ASSUMPTIONS FROM PREVIOUS PROBLEM! (Note: use the standard assumptions from lecture) $16.96mm $28.64mm $26.96mm $29.60mm

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