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Problem:

A firm has a debt ratio of 45%, capital intensity ratio is 1.3 times, profit margin is 10%, and dividend payout ratio is 30%.

Required:

Question: Calculate the sustainable growth rate for the firm.

  • 2.96%
  • 3.05%
  • 1.56%
  • 4.79%

Note: Show supporting computations in good form.

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M91170108

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