You Have Located the Following Information on Tyler Company: Debt

Multiple Choice

You have located the following information on Tyler Company: debt ratio = 50 percent, capital intensity ratio = 1.5 times, profit margin = 9 percent, and dividend payout ratio = 40 percent. What is the sustainable growth rate for Tyler?

A) 12.00 percent
B) 7.76 percent
C) 20.00 percent
D) 30.00 percent