Question
1. Stop and Go has a 5 percent profit margin and a 44 percent dividend payout ratio. The total asset turnover is 1.60 and the
1. Stop and Go has a 5 percent profit margin and a 44 percent dividend payout ratio. The total asset turnover is 1.60 and the debt-equity ratio is .58. What is the sustainable rate of growth? NOTE: all the numbers belong to the same year without any lags.
2. Firm A and Firm B have debt-total asset ratios of 31% and 21% and returns on total assets of 7% and 13%, respectively. What is the return on equity for Firm A and Firm B? (Round answer to 2 decimal places in a $)
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Day Trading Strategies And Risk Management
Authors: Richard N. Williams
1st Edition
979-8863610528
