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a = 4 b =0 c =6 d = 4 2) Medtronic firm has $[(1,000,000*(A+B)+$60,000,000) in equity and $60,000,000 in debt and forecast $[(1,000,000*(C)+$22,000,000) in
a = 4 b =0 c =6 d = 4
2) Medtronic firm has $[(1,000,000*(A+B)+$60,000,000) in equity and $60,000,000 in debt and forecast $[(1,000,000*(C)+$22,000,000) in net income for the year. It currently pays dividends equal to [(A+B+C+D))% of its net income. a. What would their internal growth rate be? NOTE: Answer in percentage. If your answer is 0.0405, then answer 4.05. b. What would their sustainable growth rate be? NOTE: Answer in percentage. If your answer is 0.0405, then answer 4.05Step by Step Solution
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