pls given true answer of this general accounting question Rivertide Inc. wishes to maintain a growth rate of 8.5 percent a year, adebt-equity ratio of 0.75, and a dividend payout ratio of 35 percent.The ratio of total assets to sales is constant at 0.95. What profit marginmust the firm achieve?

Given Data:Growth rate (ggg) = 8.5% = 0.085Debt-equity ratio = 0.75Dividend payout ratio = 35% =…

Answered: Rivertide Inc. wishes to maintain a…

Financial Management: Theory & Practice

16th Edition

ISBN:9781337909730

Author:Brigham

Publisher:Brigham

Chapter7: Corporate Valuation And Stock Valuation

Section: Chapter Questions

Problem 1P: Ogier Incorporated currently has $800 million in sales, which are projected to grow by 10% in Year 1...

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Rivertide Inc. wishes to maintain a growth rate of 8.5 percent a year, a debt-equity ratio of 0.75, and a dividend payout ratio of 35 percent. The ratio of total assets to sales is constant at 0.95. What profit margin must the firm achieve?