Question: Using the information in the table below, calculate this companys: Net Income ...........50,000 Beginning Total Assets ......400,000 Beginning Stockholders Equity ....250,000 Payout Ratio .............0% a.

Using the information in the table below, calculate this company’s:

Net Income ...........50,000

Beginning Total Assets ......400,000

Beginning Stockholders’ Equity ....250,000

Payout Ratio .............0%

a. Internal growth rate.

b. Sustainable growth rate.

c. Sustainable growth rate if it pays out 40% of its net income as a dividend.


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