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    Sustainable Growth: Total Asset Turnover

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    Assuming the following ratios are constant, what is the sustainable growth rate?

    Total Asset Turnover = 1.80
    Profit Margin = 7.2%
    Equity Multiplier = 2.15
    Payout Ratio = 30%

    I am just not understanding how to do this. The book shows a ROE #, but I don't know how to get that.

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    https://brainmass.com/business/finance/sustainable-growth-total-asset-turnover-129792

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