What is the internal growth rate of metronic under the


Metronic has $109M in equity and $67M in debt and forecasts $22M in net income for the year. It currently pays dividends equal to 34% of its net income. You are analyzing a potential change in payout policy -a decrease in dividends to 25% of net income. How would this change affect your internal and sustainable growth rates? What is the internal growth rate of Metronic under the current payout policy? Note: Express your answers in strictly numerical terms. For example, if the answer is 5%, write 0.05"

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Financial Management: What is the internal growth rate of metronic under the
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