High Flyer, Inc., wishes to maintain a growth rate of 13.75 percent per year and a...

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High Flyer, Inc., wishes to maintain a growth rate of 13.75percent per year and a debt–equity ratio of .45. The profit marginis 4.7 percent, and total asset turnover is constant at 1.17.

What is the dividend payout ratio? (A negative answershould be indicated by a minus sign. Do not round intermediatecalculations and enter your answer as a percent rounded to 2decimal places, e.g., 32.16.)

Dividend payout ratio           %

What is the maximum sustainable growth rate for this company?(Do not round intermediate calculations and enter youranswer as a percent rounded to 2 decimal places, e.g.,32.16.)

Sustainable growth rate           %

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4.4 Ratings (881 Votes)

Information providedSustainable growth rate 1375Asset turnover ratio 117Debt equity ratio 045Profit margin 47aThe question is See Answer

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High Flyer, Inc., wishes to maintain a growth rate of 13.75percent per year and a debt–equity ratio of .45. The profit marginis 4.7 percent, and total asset turnover is constant at 1.17. What is the dividend payout ratio? (A negative answershould be indicated by a minus sign. Do not round intermediatecalculations and enter your answer as a percent rounded to 2decimal places, e.g., 32.16.) Dividend payout ratio % What is the maximum sustainable growth rate for this company?(Do not round intermediate calculations and enter youranswer as a percent rounded to 2 decimal places, e.g.,32.16.) Sustainable growth rate %