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Question: 1. When is the forecasted growth rate in residual operating income the same as the forecasted growth rate in sales?

2. Would you call a firm that is expected to have ahigh sales growth rate agrowth firm?

3. The higher the anticipated return on net operating assets (RNOA) relative to the anticipated growth in net operating assets, the higher will be the unlevered priceto-book ratio. Is this correct?

4. What is the effect of increasing the asset turnover (ATO) on enterprise price-tobook, holding all else constant?

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M92299901

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