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In 2005, a firm had EBIT of $ 2,805 million. Its tax rate is 37.3%. At the beginning of the year, the firm had a
In 2005, a firm had EBIT of $ 2,805 million. Its tax rate is 37.3%. At the beginning of the year, the firm had a book value of debt and equity of $ 15,883 million and $ 23,879 million respectively. Capital expenditure during the year amounted to $ 1,735 million, additional investment in working capital amounted to $ 454 million and depreciation was $ 1,253 million. Estimate the expected growth rate based on the firm's existing fundamentals Question 27 options:
2.35%
5.33%
15%
4.25%
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