The Two Sisters Has a Return on Assets of 9

question 34

Multiple Choice

The Two Sisters has a return on assets of 9 percent and a dividend payout ratio of 75 percent. What is the internal growth rate?

• A) 3.24 percent
• B) 4.05 percent
• C) 3.97 percent
• D) 2.30 percent
• E) 2.25 percent