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Loreto Incorporated has the following financial ratios: asset turnover = 1.40; net profit margin (i.e., net income/sales) = 8%; payout ratio = 25%; equity/assets

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Loreto Incorporated has the following financial ratios: asset turnover = 1.40; net profit margin (i.e., net income/sales) = 8%; payout ratio = 25%; equity/assets = 0.70. a. What is Loreto's sustainable growth rate? b. What is its internal growth rate? Note: Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places. a. Sustainable growth rate b. Internal growth rate % %

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