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A venture started the year with $ 2 0 million in book value of equity. It plans no intermediate equity injections or withdrawals and projects

A venture started the year with $20 million in book value of equity. It plans no intermediate equity injections or withdrawals and projects net income of $2 million for the year. It will pay a $500,000(25%) dividend at the beginning of the next period and retain $1,500,000(75%). Assuming that the company will scale up with the same margins, what is the sustainable sales growth rate?
Group of answer choices
7.5%
10.2%
8.3%
9.4%

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