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f a firm follows a stable dividend policy while its earnings are growing and no new stock has been issued, what would happen to the
f a firm follows a stable dividend policy while its earnings are growing and no new stock has been issued, what would happen to the firms dividend payout ratio over time?
| a. | The payout ratio will decrease. | |
| b. | The payout ratio will increase. | |
| c. | The payout ratio will decrease initially and then increase. | |
| d. | The payout ratio will remain stable and not change. |
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