The current profit margin is 69 percent and the firm uses


1. A firm wishes to maintain an internal growth rate of 8.5 percent and a dividend payout ratio of 25.0 percent. The current profit margin is 6.9 percent, and the firm uses no external financing sources. What must total asset turnover be?

2. If insurance companies in Switzerland cannot profit on basic, how can they make a profit?

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Financial Management: The current profit margin is 69 percent and the firm uses
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