A firm's profit margin is 10%, and its asset turnover ratio is .6. It has no debt,

Question:

A firm's profit margin is 10%, and its asset turnover ratio is .6. It has no debt, has net income of $10 per share, and pays dividends of $4 per share. What is the sustainable growth rate?

Asset Turnover
Asset turnover is sales divided by total assets. Important for comparison over time and to other companies of the same industry. This is a standard business ratio.