Motivation Corporation, seeking renewal of its $12 million c…
Motivation Corporation, seeking renewal of its $12 million credit line, reports the data in the following table (in millions of dollars) to Hot Springs National Bank’s loan department. Bank information 20X1 20X2 20X3 20X4 Projections for Next Year Cost of goods sold $5.1 $5.5 $5.7 $5.8 $6.0 Selling and administrative 8.0 8.0 8.0 8.1 8.2 Sales revenue 7.9 8.5 9.2 9.4 9.8 Depreciation and other noncash 11.2 11.2 11.1 11.0 11.0 Taxes paid in cash 4.4 4.6 4.9 4.8 4.8 What is the (projected) cash flow growth for the next year in percent (%) term?