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Fundamentals of Corporate Finance, 8 th edition, Brealey, Myers, Marcus, (Chpt 18, Q23, LO3) A firm has an asset turnover ratio of 2.0. Its plow

Fundamentals of Corporate Finance, 8^th edition, Brealey, Myers, Marcus,

(Chpt 18, Q23, LO3)

A firm has an asset turnover ratio of 2.0. Its plow back ratio is 50%, and it is all-equity financed. What must its profit margin be if it wishes to finance 10% growth using only internally generated funds?

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