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Calculate the rate at which a firm can grow without using external financing if its payout ratio is 65%, total assets at the beginning of

Calculate the rate at which a firm can grow without using external financing if its payout ratio is 65%, total assets at the beginning of the year is $1.5 million, total debt ratio is 0.33, and its net income for the year is $162,000.

A. 3.78%

B. 5.6%

C. 10.8%

D. 3.26%

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