Based on the following information, calculate the sustainable growth rate for Southern Sky: Profit margin = 7.4%

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Based on the following information, calculate the sustainable growth rate for Southern Sky:

Profit margin = 7.4%

Capital intensity ratio = 0.55

Debt-equity ratio = 0.30

Net income = $70,000

Dividends = $25,000

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Essentials Of Corporate Finance

ISBN: 9780073405131

6th Edition

Authors: Stephen A. Ross, Randolph Westerfield, Bradford D. Jordan

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