Corporate Fin Focused Approach
5th Edition
ISBN: 9781285660516
Author: EHRHARDT
Publisher: Cengage
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
Transcribed Image Text:### Sustainable Growth Rate Calculation for Kayla’s Heavy Equipment
**Provided Information:**
- **Profit Margin:** 7.3%
- **Capital Intensity Ratio:** 0.95
- **Debt-Equity Ratio:** 1.05
- **Net Income:** $84,000
- **Dividends:** $24,000
**Task:**
Calculate the sustainable growth rate. (Do not round intermediate calculations and enter your answer as a percentage rounded to 2 decimal places, e.g., 32.16.)
**Answer:**
Sustainable Growth Rate: __ %
Expert Solution
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