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Prediction of sales growth rates affect on the projected debt-equity ratio amount. Saul Vision Center computed teh following two growth rates: Internal Growth Rate is

Prediction of sales growth rates affect on the projected debt-equity ratio amount.

Saul Vision Center computed teh following two growth rates:

Internal Growth Rate is 15% Sustainable Growth Rate is 8%

1. If Saul's Vision Center projects a sales growth rate of 7%, the company can expece its debt-equity ratio to

A. Increase B. Decrease C. Reamain Constant

2. If Saul's Vision Center projects a sales growth rate of 8%, the company can expece its debt-equity ratio to

A. Increase B. Decrease C. Reamain Constant

Prediction of Sales Growth Rate on the Projected Debt Amount

3. If Saul's Vision Center projects a sales growth rate of 3%, the company can expece its debt-equity ratio to

A. Increase B. Decrease C. Reamain Constant

4. If Saul's Vision Center projects a sales growth rate of 9%, the company can expece its debt-equity ratio to

A. Increase B. Decrease C. Reamain Constant

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