Based on the following information, calculate the sustainable growth rate for Kovalevs Kickboxing: Profit margin = 9.2%

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Based on the following information, calculate the sustainable growth rate for Kovalev’s Kickboxing:

Profit margin = 9.2%

Capital intensity ratio = .60

Debt-equity ratio = .50

Net income = $23,000

Dividends = $14,000

What is the ROE here?

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Fundamentals Of Corporate Finance

ISBN: 9780072553079

6th Edition

Authors: Stephen A. Ross, Randolph Westerfield, Bradford D. Jordan

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Question Posted: Oct 03, 2023 08:55 AM

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Based on the following information, calculate the sustainable growth rate for Kovalevs Kickboxing: Profit margin = 9.2%

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To calculate the Return on Equity ROE we can use the DuPont formula which breaks down R...View the full answer

Fundamentals Of Corporate Finance

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