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Chester Financial Corp had a return on equity of 18%. The corporation's earnings per share was $4.00, its dividend payout ratio was 30% and its

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Chester Financial Corp had a return on equity of 18%. The corporation's earnings per share was $4.00, its dividend payout ratio was 30% and its profit-retention rate was 70%. If these relationships continue, what will be the Chester Financial Corp's internal growth rate? Select one: O a. 12.6% b. 5.4% c. 70.0% d. 28.0% A small company struggling to reach profitability just announced a major new government contract that will validate its technology and generate revenue for the next several years. The announcement of the contract will Select one: o a. have no effect on the stock price because the company has not yet paid any dividends ob. cause the stock price to increase because kcs(the required return) is likely to increase C. cause the stock price to increase because kcs (the required return) is likely to decrease and g (the growth rate in future dividends) is likely to increase O d. cause the stock price to decrease because the government usually pays below market price for the goods and services it purchases

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