Hasbro, Incorporated, sells toys and games in over 120 countries, including popular brands such as Nerf and Play-Doh. The following are selected financial data for the company for the period 2012 to 2016. 2012 2013 2014 2015 2016 Profit margin (%) 7.9 6.9 9.4 10.4 11.4 Retention ratio (%) 32.4 45.4 47.4 49.0 54.4 Asset turnover (X) 0.94. 0.89 0.90 0.90 0.95 Financial leverage (X) 3.09 2.89 2.64 3.19 3.09 Growth rate in sales (%) (4.4) (2.4) 4.4. 3.9 12.4 Source: Data from Hasbro 2012 to 2016 annual reports Calculate Hasbro's annual sustainable growth rate from 2012 through 2016. Note: Round your answers to 1 decimal place. Year Sustainable Growth Rate 2012

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
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Hasbro, Incorporated, sells toys and games in over 120 countries, Including popular brands such as Nerf and Play-Doh. The following
are selected financial data for the company for the period 2012 to 2016.
Profit margin (%)
2012
7.9
2013
2014
2015
2016
6.9
9.4
10.4
11.4
Retention ratio (%)
32.4
45.4
47.4
49.0
54.4
Asset turnover (X)
0.94
0.89
0.90
0.90
0.95
Financial leverage (X)
3.09
2.89
2.64
3.19
3.09
Growth rate in sales (%)
(4.4)
(2.4)
4.4
3.9
12.4
Source: Data from Hasbro 2012 to 2016 annual reports
Calculate Hasbro's annual sustainable growth rate from 2012 through 2016.
Note: Round your answers to 1 decimal place.
Year
Sustainable Growth Rate
2012
%
2013
%
2014
%
2015
%
2016
%
Transcribed Image Text:Hasbro, Incorporated, sells toys and games in over 120 countries, Including popular brands such as Nerf and Play-Doh. The following are selected financial data for the company for the period 2012 to 2016. Profit margin (%) 2012 7.9 2013 2014 2015 2016 6.9 9.4 10.4 11.4 Retention ratio (%) 32.4 45.4 47.4 49.0 54.4 Asset turnover (X) 0.94 0.89 0.90 0.90 0.95 Financial leverage (X) 3.09 2.89 2.64 3.19 3.09 Growth rate in sales (%) (4.4) (2.4) 4.4 3.9 12.4 Source: Data from Hasbro 2012 to 2016 annual reports Calculate Hasbro's annual sustainable growth rate from 2012 through 2016. Note: Round your answers to 1 decimal place. Year Sustainable Growth Rate 2012 % 2013 % 2014 % 2015 % 2016 %
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