Question
Use the following information for AB, Inc. (ABI) for this question. Sales$100,000Costs$55,000Depreciation$6,000Dividend paid$8,500Retained Earnings Added$15,250Total Assets$85,000Equity$45,000Selling, General and Administrative costs$0Tax Rate35% If the profit margin,
- Use the following information for AB, Inc. (ABI) for this question.
Sales$100,000Costs$55,000Depreciation$6,000Dividend paid$8,500Retained Earnings Added$15,250Total Assets$85,000Equity$45,000Selling, General and Administrative costs$0Tax Rate35%
If the profit margin, total asset turnover, and dividend payout ratios for ABI remain unchanged, what is the internal growth rate it can achieve during the following year?
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Multinational Financial Management
Authors: Alan C Shapiro, Paul Hanouna
11th Edition
1119559901, 9781119559900
