Question
4. (A). A company has a return on equity of ROE = 20 percent, and from earnings per share of EPS = 5, it pays
4. (A). A company has a return on equity of ROE = 20 percent, and from earnings per share of EPS = 5, it pays a 2 dividend. What is the company's sustainable growth rate?
B). If the return on equity for a firm is 15 percent and the retention ratio is 40 percent. What
Is the sustainable growth rate of earnings and dividends
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Principles Of Financial Accounting
Authors: Jerry J. Weygandt, Michael J. Atkins, Donald E. Kieso, Paul D. Kimmel, Valerie Ann Kinnear, Barbara Trenholm, Joan E. Barlow
1st Canadian Edition
1118757149, 978-1118757147
