You've collected the following information about Hendrix Guitars, Incorporated: Profit margin Total asset turnover Total debt ratio Payout ratio = = Sustainable growth rate = = 4.41% 3.20 .28 26% What is the sustainable growth rate for the company? Note: Do not round intermediate calculations and enter your answer as a percent rounder Answer is complete but not entirely correct. 11.75 %
You've collected the following information about Hendrix Guitars, Incorporated: Profit margin Total asset turnover Total debt ratio Payout ratio = = Sustainable growth rate = = 4.41% 3.20 .28 26% What is the sustainable growth rate for the company? Note: Do not round intermediate calculations and enter your answer as a percent rounder Answer is complete but not entirely correct. 11.75 %
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Transcribed Image Text:You've collected the following information about Hendrix Guitars, Incorporated:
Profit margin
Total asset turnover
Total debt ratio
Payout ratio
1
T
Sustainable growth rate
-
I
4.41%
3.20
.28
26%
What is the sustainable growth rate for the company?
Note: Do not round intermediate calculations and enter your answer as a percent roundec
Answer is complete but not entirely correct.
11.75 %
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