Question
Mommy Pizza Inc. has a 7% profit margin and a 60% dividend payout ratio. The total asset turnover is 1.7 and the equity multiplier is
Mommy Pizza Inc. has a 7% profit margin and a 60% dividend payout ratio. The total asset turnover is 1.7 and the equity multiplier is 1.8. What is the sustainable rate of growth?
| A. | 7.20 % | |
| B. | 21.42 % | |
| C. | 6.73 % | |
| D. | 5.48 % | |
| E. | 8.57 % |
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School Finance And Business Management Optimizing Fiscal Facility And Human Resources
Authors: Craig A. Schilling, Daniel R. Tomal
2nd Edition
1475844026, 978-1475844023
