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Based on the following information, calculate the sustainable growth rate for Kalebs Heavy Equipment: Profit margin 7.5% Capital intensity ratio .63 Debt-equity ratio .56 Net

Based on the following information, calculate the sustainable growth rate for Kalebs Heavy Equipment:

Profit margin 7.5%
Capital intensity ratio .63
Debt-equity ratio .56
Net income $21,000
Dividends $14,700

Multiple Choice

  • 4.80%

  • 3.67%

  • 6.40%

  • 5.90%

  • 15.04%

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