Question
(3) Youve collected the following information about Ewha corp.; Sales = $295,000, Net income = $18,400, Dividends = $9,100, Total debt = $68,000, Total equity
(3) Youve collected the following information about Ewha corp.; Sales = $295,000, Net income = $18,400, Dividends = $9,100, Total debt = $68,000,
Total equity = $94,000. What is the sustainable growth rate for the company? If it does grow at this rate, how much new borrowing will take place in the coming year, assuming a constant debtequity ratio? What growth rate could be supported with no outside financing at all?
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Forecasting Principles And Practice
Authors: Rob J Hyndman, George Athanasopoulos
3rd Edition
0987507133, 978-0987507136
