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Statement I: When earnings are retained and reinvested into non-profitable projects, the company and its earnings will grow in the future. Statement II: The general

Statement I:

When earnings are retained and reinvested into non-profitable projects, the company and its earnings will grow in the future.

Statement II:

The general growth model is difficult to apply in practice.

Both statements are correct
Statement 1 is incorrect; statement 2 is correct
Statement 1 is correct; statement 2 is incorrect
Both statements are incorrect

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