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Calculate the Sustainable Growth Rate for a Firm with an 8

Question 106

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Calculate the sustainable growth rate for a firm with an 8% profit margin,an asset turnover of 1.25,a total debt ratio of 45%,and a plowback ratio of 65%.Assuming that the ROE remains constant,how large can the sustainable growth rate become?

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blured image If ROE is fixed,the only thing that cou...

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