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7.209 Which of the following statements accurately describes the relationship between earnings and dividends when all other factors are held constant? Dividend growth and earnings

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7.209 Which of the following statements accurately describes the relationship between earnings and dividends when all other factors are held constant? Dividend growth and earnings growth are unrelated. Paying a higher percentage of earnings as dividends will result in a higher growth rate. Long-run earnings growth occurs primarily because firms retain earnings and reinvest them in the business

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