Question
Hayesville Corporation had net income of $5 million this year on net sales of $125 million per year. At the beginning of this year, its
Hayesville Corporation had net income of $5 million this year on net sales of $125 million per year. At the beginning of this year, its debt-to-equity ratio was 1.5 and it held $75 million in total liabilities. It paid out $2 million in dividends for the year. What is Hayesville Corporation's sustainable growth rate?
| a. | 3% | |
| b. | 4% | |
| c. | 5% | |
| d. | 6% |
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Options Futures And Other Derivatives
Authors: John C. Hull
7th Edition
0136015867, 9780136015864
