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An organization has an ROE of 27.5% and an ROA of 9%. What is the internal growth rate if the firm has a 40% dividend

An organization has an ROE of 27.5% and an ROA of 9%. What is the internal growth rate if the firm has a 40% dividend payout ratio?

Select one:

a. 4.71%

b. 8.46%

c. 5.71%

d. 7.76%

e. 8.81%

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