Question
A. The Veggie Hut has net income of $16,400, total equity of $92,700, and total assets of $179,500. The dividend payout ratio is 0.35. What
A. The Veggie Hut has net income of $16,400, total equity of $92,700, and total assets of $179,500. The dividend payout ratio is 0.35. What is the internal growth rate?
Group of answer choices
12.99 percent
6.30 percent
9.14 percent
5.94 percent
17.69 percent
B. Valentino's maintains a constant debt-equity ratio of 0.55. The firm had net income of $12,800 for the year and paid $10,500 in dividends. The firm has total assets of $102,000. What is the sustainable growth rate?
Group of answer choices
19.45 percent
17.97 percent
2.31 percent
3.62 percent
9.14 percent
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