Determine the sustainable rate of growth

Assignment Help Finance Basics
Reference no: EM1358198

1) The Green Giant has a 5% profit margin and a 40% divided payout ratio. The total asset turnout is 1.40 and the equity multiplier is 1.50. What is the Sustainable rate of growth?

2)Consider a bond which pays 7% semiannually has 8 years to maturity. The market requires an interest rate of 8% on bonds of this risk. What is the bond's price?

 

Reference no: EM1358198

Questions Cloud

Explain the american inventors protection act : Explain The American Inventors Protection Act of 1999 and guarantees a minimum term length of protection for patents.
Transition of cost centers to profit centers : 'Wireless Inc., provides a variety of telecommunications services to residential and commercial customers from its massive campus-like headquarters in suburban Orlando. For a number of years the firm's maintenance group has been organized as a cos..
Explain why do us taxpayers lose : the congressional research service estimates that at least $45 million of counterfeit u.s. $100 notes produced by the north Korean government are in circulation. Explain why do U.S. taxpayers lose because of north Korea's counterfeiting.
Impact of technology innovation on social change : Creative disruptions (disruptive technology and impact of technology innovation on social change
Determine the sustainable rate of growth : The Green Giant has a 5 percent profit margin and a 40% divided payout ratio. The total asset turnout is 1.40 and the equity multiplier is 1.50. Determine the Sustainable rate of growth?
What current is in the primary circuit : What current is in the primary circuit. A proton moves at a speed of 8.0 103 m/s as it passes through a magnetic field of 0.55 T. Find the radius of the circular path. Note down that the charge carried by the proton is equal to that of the electron..
Performance measures and transfer pricing : Explain the advantages and disadvantages of each set of performance measures. How do they must design the organizational architecture to control the agency problems?
Marriott international and its aspects of culture : Write a paper on the characteristics of the company that make it one of the 100 best companies to work for. Discuss what the company does, aspect of its culture, and why it is successful. Your paper should be 5 pages.
Please explain each effect of the three effects : Please explain each effect of the three effects also explain the downward slope of the aggregate demand-aggregate supply model: Real-balances effect, interest-rate effect, and foreign-purchases effect.

Reviews

Write a Review

Finance Basics Questions & Answers

  Payoff diagram for a stock and a bond

Make a final payoff diagram for a stock and a bond.

  Ipo initial public offering

Explain how the Initial Public Offering (IPO) process works and its positive and negative aspects. Who benefits? How effective is the transfer of capital from savers to users (how much lost in the process)?

  Determining the bonds-duration

An insurance company is analyzing three bonds and is using duration as the measure of interest rate risk. What is the duration for each of the bonds? What is the relationship between duration and the amount of coupon interest that is paid?

  Factors which affecting portfolio returns

As a manager of a large, broadly diversified portfolio of stocks and bonds you realized that changes in certain microeconomic variables might directly affect the performance of your portfolio.

  Provide a statement of clarification

You are a data analyst with TeckWorld, a multinational corporation dealing in hardware and software products. The VP of the corporation has asked you to obtain forecasts of next year's inflation rate from thirty economists.

  Computation of present value of a liability

Computation of present value of a liability and Miner Industries develops an open pit uranium mine

  Determine average annual compound rate of return

The All-State Mutual Fund has the following 5 year record of performance: Determine this no-load fund's five year (2006-2010) average annual compound rate of return.

  Computation of profit margin

Computation of profit margin and total asset turnover and return on total assets for two consecutive years and Comment on such results

  The capital structure theory

A business with no debt financing has the firm value of $20 million. It has a corporate marginal tax rate of 34%. The firm's investors are estimated to have marginal tax rates of 31% on interest income and weighted average of 28% on stock income.

  Explain effect of dividend policy and size of capital budget

Explain Effect of Dividend policy and Size of capital budget on WACC and How might dividend policy affect the WACC

  Hedging risk in risk-management division

If resulting profits are repatriated to production unit in Canada monthly, what risk does this production unit face? How might it hedge this risk?

  Find the value of common stock

A security analyst forecasts dividends of Kalpert Enterprises for the next 3 years. Her forecast is D1=$1.50, D2=$1.75, and D3=$2.20. She also forecasts a price in 3 years of $48.50.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd