QUESTIONS 45 THROUGH 68 RELATE TO FINANCIAL STATEMENT ANALYSIS

55.

The following financial data is available for a company:

Return on assets (ROA)

4.8%

Total asset turnover

1.92

Financial leverage

1.75

Dividend payout ratio

48.1%

The company’s sustainable growth rate is closest to:

A. 4.00%.

B. 4.40%.

C. 4.78%.