Forecasted Statements and Ratios Upton Computers makes bulk purchases of small computers, stocks them in conveniently located warehouses, ships them to its chain of retail stores, and has a staff to advise customers and help them set up their new computers. Upton's balance sheet as of December 31, 2016, is shown here (millions of dollars):
Cash $ 3.5
Accounts payable $ 9.0
Receivables 26.0
Notes payable 18.0
Inventories 58.0
Line of credit 0
Total current assets $ 87.5
Accruals 8.5
Net fixed assets 35.0
Total current liabilities $ 35.5
Mortgage loan 6.0
Common stock 15.0
Retained earnings 66.0
Total assets $122.5
Total liabilities and equity $122.5

Sales for 2016 were $500 million and net income for the year was $15 million, so the firm's profit margin was 3.0%. Upton paid dividends of $6 million to common stockholders, so its payout ratio was 40%. Its tax rate was 40%, and it operated at full capacity. Assume that all assets/sales ratios, (spontaneous liabilities)/sales ratios, the profit margin, and the payout ratio remain constant in 2017. Do not round intermediate calculations. If sales are projected to increase by $90 million, or 18%, during 2017, use the AFN equation to determine Upton's projected external capital requirements. Enter your answer in millions. For example, an answer of $1.2 million should be entered as 1.2, not 1,200,000. Round your answer to two decimal places. $ million Using the AFN equation, determine Upton's self-supporting growth rate.

That is, what is the maximum growth rate the firm can achieve without having to employ nonspontaneous external funds?