Question

The following data are given : Net Income $200 Mn in Just completed FY, Book Value of equity at beginning of he year was $1 Billion. Capital expenditure $140 million, Depreciation $50 million, Increase in net working capital $ 35 million & debt outstanding $45 million, Estimate Expected Growth in Net Income

Answer 1

Growth= ROE * Reinvestment rate.
You have all of the numbers all you need to do is calculate ROE and reinvestment rate.