What effect on the growth rate of earnings can be accomplished by decreasing the dividend pay out ratio from 40% to 10% if the firm has a Return on Book Equity of 20%?

A. The growth rate can increase from 6% to 10.5%.

B. The growth rate can increase from 12% to 18%.

C. The growth rate can increase from 8% to 14%.

D. The growth rate can increase from 11% to 14%.