Review the abbreviated fi nancial statements for the last two years for the Norne Energy Corp. All values are expressed in billions of dollars. Norne Energy Corp. Balance Sheet XXXXXXXXXXCurrent...

Review the abbreviated fi nancial statements for the last two years for the Norne Energy Corp. All values are expressed in billions of dollars. Norne Energy Corp. Balance Sheet 2009 2008 Current assets $2.7 $2.5 Fixed assets 3.5 3.4 Total assets $6.2 $5.9 Current liabilities $1.9 $1.8 Long-term debt 2.1 2.2 Shareholders’ equity 2.2 1.9 Total liabilities and equity $6.2 $5.9 Norne Energy Corp. Income Statement 2009 2008 Sales $7.5 $7.1 Net income 0.5 0.4 Dividends 0.2 0.1 a. What was Norne’s sustainable growth rate at the end of 2008? b. How rapidly did Norne actually grow in 2009? c. What changes in Norne’s fi nancial condition from 2008 to 2009 can you trace to the difference between the actual and sustainable growth rates?