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A venture in steady state has $4 of sales for each $i of assets, $2 of assets for each $1 of sales, has a rate

  1. A venture in steady state has $4 of sales for each $i of assets, $2 of assets for each $1 of sales, has a rate of return on sales of 10%. If it pays no dividends, what is its sustainable growth rate?

    A.

    80%

    B.

    40%

    C.

    10%

    D.

    20%

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