CN Railways Is North America's Fifth Largest Railway A)22%
B)3

CN Railways is North America's fifth largest railway. Use the financial information in the table to calculate CN's maximum sustainable growth rate. CN Railway Company
As of December 31, Year 10
$$\begin{array} { | c | c | } \hline \text { ROE } & 8.62 \% \\\hline \text { ROA } & 3.02 \% \\\hline \begin{array} { c } \text { Net Profit } \\\text { Margin }\end{array} & 9.35 \% \\\hline \begin{array} { c } \text { Total Asset } \\\text { Turnover }\end{array} & 0.32 \\\hline \begin{array} { c } \text { Dividend } \\\text { Payout Rate }\end{array} & 30 \% \\\hline\end{array}$$

A) 2.2%
B) 3.1%
C) 6.4%
D) 7.0%
E) 9.4%