Plank’s Plants had net income of $6,000 on sales of $70,000 last year. The firm paid a dividend of $960. Total assets were $300,000, of which $120,000 was financed by debt What would be the maximum possible growth rate if the firm did not issue any debt next year? (Do not round intermediate calculations. Enter your answer as a percent rounded to 1 decimal place.)
Plank’s Plants had net income of $6,000 on sales of $70,000 last year. The firm paid a dividend of $960. Total assets were $300,000, of which $120,000 was financed by debt What would be the maximum possible growth rate if the firm did not issue any debt next year? (Do not round intermediate calculations. Enter your answer as a percent rounded to 1 decimal place.)
Chapter12: Corporate Valuation And Financial Planning
Section: Chapter Questions
Problem 9P
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Plank’s Plants had net income of $6,000 on sales of $70,000 last year. The firm paid a dividend of $960. Total assets were $300,000, of which $120,000 was financed by debt
What would be the maximum possible growth rate if the firm did not issue any debt next year? (Do not round intermediate calculations. Enter your answer as a percent rounded to 1 decimal place.)
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