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VI Following are selected financial data for company Q for the nearly 5 years. (#254) year 1 2 Profit margin(%) 4.8 5.6 Retention ration) 78.3

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VI Following are selected financial data for company Q for the nearly 5 years. (#254) year 1 2 Profit margin(%) 4.8 5.6 Retention ration) 78.3 65.6 Assets turnover(times) 4.2 3.0 Financial leverage (times) (based on beginning equity 5.5 4.1 balance) Growth rate in sales(%) 6.9 7.9 1. What is the sustainable growth equation? 3 3.3 53.8 2.6 4 3.2 47.7 2.3 5 5.3 71.8 2.3 2.0 2.0 1.7 6.3 2.9 0.2 2. Calculate company Q's sustainable growth rate in each year. 3. What growth problem did company Q face over this period? 4. How did the company cope with the problem? 5. In the year 5,company Q announced a $7.6 million stock buy back. From a growth management perspective, was this a wise decision? Why or why not

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