Internal Growth. A firm has an asset turnover ratio of 2.0. Its plowback ratio is 50 percent,

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Internal Growth. A firm has an asset turnover ratio of 2.0. Its plowback ratio is 50 percent, and it is all-equity financed. What must its profit margin be if it wishes to finance 8 percent growth using only internally generated funds?

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Study Guide To Accompany Fundamentals Of Corporate Finance

ISBN: 9780073012421

5th Edition

Authors: Richard Brealey, Stewart Myers, Alan Marcus

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