7. Medifast, Inc., is a producer and marketer of weight-loss meals and other health and weight-loss products. Following are selected financial data for the company for the period 2006-2010 2010 7.20 2.64 2006 2007 2008 2009 4.60 6.00 99.50 100.00 100.00 100.00 100.00 Profit margin (%) Retention ratio (%) Asset turnover (X) Financial leverage (X) Growth rate in sales (%) 7.00 5.20 2.02 1.69 84.60 1.33 2.07 1.57 3.10 25.90 57.10 1.57 1.64 46.80 a. Calculate Medifast's annual sustainable growth rate for the years 2006-2010 b. Comparing the company's sustainable growth rate with its actual growth rate in sales, what growth management problems did Med ifast face over this period? c. How did the company cope with these problems? 7. Medifast, Inc., is a producer and marketer of weight-loss meals and other health and weight-loss products. Following are selected financial data for the company for the period 2006-2010 2010 7.20 2.64 2006 2007 2008 2009 4.60 6.00 99.50 100.00 100.00 100.00 100.00 Profit margin (%) Retention ratio (%) Asset turnover (X) Financial leverage (X) Growth rate in sales (%) 7.00 5.20 2.02 1.69 84.60 1.33 2.07 1.57 3.10 25.90 57.10 1.57 1.64 46.80 a. Calculate Medifast's annual sustainable growth rate for the years 2006-2010 b. Comparing the company's sustainable growth rate with its actual growth rate in sales, what growth management problems did Med ifast face over this period? c. How did the company cope with these problems