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Afirm's high payout ratio typically indicates that Select one: O a. a firm is investing heavily in plant and equipment. O b. a firm has

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Afirm's high payout ratio typically indicates that Select one: O a. a firm is investing heavily in plant and equipment. O b. a firm has high current obligations o the form is probably in the mature phase of its life cycle and does not have many growth opportunities available. O d. the firm is probably in Stage ll of its life cycle. O e. the firm probably has too many highly profitable investment opportunities. Gresk Company's stock has a beta coeficient of 14 and a required rate of return of 14%. The equity risk premium is currently 5%. If the inflation premium increases by 1.0% and Greshak acquires new assets which increase its beta by 50%, what will be the company's new required equity rate of return? Select one: O a. 18.50% O b. 13.50% O O C 22.80% d. 15.25% e. 17.00% O

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