Respuesta :

Answer:

5.208%

Step-by-step explanation:

Data provided in the question:

retention ratio = 0.79

ROA = 5.94%

EM = 1.11

Now,

sustainable growth rate = Retention ratio × Return on equity

also,

Return on equity = ROA × EA

or

Return on equity = 5.94 × 1.11 = 6.5934%

Therefore,

The sustainable growth rate = 0.79 × 6.5934

or

The sustainable growth rate = 5.208%

Otras preguntas