Sustainable growth rate: Refer to the information for Rowan Company in Problem 19.23. The firms management desires

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Sustainable growth rate: Refer to the information for Rowan Company in Problem 19.23. The firm’s management desires a sustainable growth rate of 10 percent but does not wish to change the company’s level of debt or its payout ratio. What will the firm’s new net profit margin have to be in order to achieve the desired growth rate?

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Fundamentals Of Corporate Finance

ISBN: 9781119795438

5th Edition

Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates

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