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Alberta Inc. has generated profits of $400,000 for the fiscal year of 2007. Alberta Inc. can reinvest these earnings in a project that will generate
Alberta Inc. has generated profits of $400,000 for the fiscal year of 2007. Alberta Inc. can reinvest these earnings in a project that will generate annual return of 12%. Shareholders of Alberta Inc. would prefer to receive dividends only when they can generate which of the following returns on their personal investments? A) 9% B) 11% C) 8% D) 13% E) None of the above
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