The most recent financial statements for crosby, inc., follow. sales for 2018 are projected to grow by 20 percent. interest expense will remain constant; the tax rate and the dividend payout rate will also remain constant. costs, other expenses, current assets, fixed assets, and accounts payable increase spontaneously with sales.

crosby, inc.

2017 income statement

sales $ 980,760

costs 792,960

other expenses 20,060

earnings before interest and taxes $ 167,740

interest paid 14,740

taxable income $ 153,000

taxes (21%) 32,130

net income $ 120,870

dividends $ 39,250