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If a firm equates its pro forma sales growth to the rate of sustainable growth, and has positive net income and excess capacity then the:
If a firm equates its pro forma sales growth to the rate of sustainable growth, and has positive net income and excess capacity then the:
a. Maximum Capacity level will have to increase at the same rate as sales growth
b. Total assets will have to increase at the same rate as sales growth
c. Debt-equity ratio will increase
d. Retained earnings will increase
e. Number of commom share outstanding will increase
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