Based on the following information, calculate the sustainable growth rate for Perks, Inc.: Profit margin = 5.2%

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Based on the following information, calculate the sustainable growth rate for Perks, Inc.:

Profit margin = 5.2%

Total asset turnover = 1.90

Total debt ratio = .30

Payout ratio = 15%

What is the ROA here?

Asset Turnover
Asset turnover is sales divided by total assets. Important for comparison over time and to other companies of the same industry. This is a standard business ratio.
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Related Book For  book-img-for-question

Essentials of Corporate Finance

ISBN: 978-0078034756

8th edition

Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan

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