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(Measuring growth) Given that a firm's return on equity is 18 percent and management plans to retain 38 percent of earnings for investment purposes, a)
(Measuring growth) Given that a firm's return on equity is 18 percent and management plans to retain 38 percent of earnings for investment purposes,
a) what will be the firm's growth rate?
b)If the firm decides to increase its retention rate, what will happen to the value of its common stock?
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Finance A Quantitative Introduction
Authors: Nico Van Der Wijst
1st Edition
1107029228, 978-1107029224
