An analyst following Chevron Corp. wants to estimate the sustainable growth rate for the company by using the PRAT model. For this purpose, the analyst has compiled the data in the following table. Complete the table and answer the questions below. Enter any ratios or percentages as a decimalized number with three places. For example, if your answer is 12.34%, enter 0.123) Assets and equity values are for the end of the year; the analyst uses averages of beginning and ending balance sheet values in computing ratios based on total assets and shareholders' equity. For example average total assets for 2007 would be computed as (148,786 + 132,628)/2 = $140,707. Note: All numbers except for EPS and DPS are in $ millions. Item 2007 18,688 Net Income Sales 214,091 Total Assets 148,786 Shareholders' Equity 77,088 EPS 8.77 DPS 2.26 P (Profit margin) R (Retention) A (Asset Turnover) T (Leverage) 0.08 The average of the profit margins (P) is 0.74 The average of the retention ratios (R) is 2006 17,138 2005 14,099 2004 13,328 204,892 193,641 150,865 132,628 125,833 93,208 68,935 62,676 45,230 7.8 6.54 6.28 2.01 1.75 1.53 9% 8% 7 X 74 X 74 X 73 X 1.52 X 1.59 X 1.77 X 1.93 X 1.96 2.03 (Enter your answer as a decimalized number with three places. For example, if your answer is 12.34%, enter 0.123) (Enter your answer as a decimalized number with three places. For example, if your answer is 12.34%, enter 0.123) The average of the asset turnover rates (A) is 0.0197 The average leverage (T) is 0.0163 (Enter your answer as a decimalized number with three places. For example, if your answer is 12.34%, enter 0.123) (Enter your answer as a decimalized number with three places. For example, if your answer is 12.34%, enter 0.123) X 0.1924 Based on these averages, the implied sustainable growth rate would be computed to be if your answer is 12.34%, enter 0.123) (Enter your answer as a decimalized number with three places. For example, lower X likely This result is than the expected long-term growth of the economy. It is the company can maintain this growth rate indefinitely. This company reached has its mature phase.