You Have Located the Following Information on Maize Company: Debt

question 32

Multiple Choice

You have located the following information on Maize Company: debt ratio = 20 percent, capital intensity ratio = 1.25 times, profit margin = 12 percent, and dividend payout ratio = 10 percent. What is the sustainable growth rate for Maize?

• A) 1.20 percent
• B) 10.10 percent
• C) 12.11 percent
• D) 73.26 percent

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Definitions:

Counteract

To act against something in order to reduce its force or neutralize its effect.

Group Cohesiveness

The extent to which members of a group are bonded together, resulting in a strong sense of identity, commitment, and loyalty toward the group.

Cohesiveness

The degree to which members of a group or team are united toward common goals and exhibit loyalty to the group.

Social Loafing

The tendency of individuals to exert less effort when working in a group than when working alone.