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A firm wishes to maintain an sustainable growth rate of 1 1 percent and a dividend payout ratio of 5 2 percent. The ratio of

A firm wishes to maintain an sustainable growth rate of 11 percent and a dividend payout
ratio of 52 percent. The ratio of total assets to sales is constant at 0.9, and the profit
margin is 9.1 percent. If the firm also wishes to maintain a constant debt-equity ratio, what
must it be?
Multiple Choice
5.88
1.04
4.88
6.88
3.88
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