Sustainable growth rate calculation?

@lulu123 – upload your image to imgur.com and copy that link in

@lulu123 – a hint first, you have to use the formula here for sustainable growth rate = Retention ratio x ROE

g = RR x ROE
= (1- Div payout ratio) x (ROA x Financial Leverage)
= 51.9% x (NI/Avg Assets x Avg Assets/Avg Equity)
= 51.9% x (4.8% x 1.75)
= 4.36%

Yea they threw in asset turnover for fun @lulu123. 😉 You’re welcome!