A fiRm Has an 8% Profit Margin and a

question 69

Multiple Choice

A firm has an 8% profit margin and a .9 ratio of sales to total assets. The firm maintains a 40% dividend payout ratio and a 10% rate of growth. If the debt-equity ratio is held constant, what must
That rate be?

• A) .70
• B) .89
• C) 1.10
• D) 1.52
• E) 1.70

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Definitions:

Active Engagement

Participation in activities or situations that require mental or physical effort.

Family Stability

The degree of predictability, routine, and consistency in family life and relationships.

School Location

The geographical place where a school is situated, which can influence accessibility, attendance, and the student's learning environment.

Teacher Quality

The effectiveness of a teacher in improving student learning outcomes, which can be influenced by education, experience, teaching skills, and other professional attributes.