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20-ABC Corporation has earnings of $2 million. It planned to payout dividends of $1.2 million to shareholders. The company has a historical return on equity

20-ABC Corporation has earnings of $2 million. It planned to payout dividends of $1.2 million to shareholders. The company has a historical return on equity of 16%. What is the firm growth in dollars on earning next year?

a.

$450,687

b.

$315,987

c.

$186,576

d.

$212,8000

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