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Which of the following is correct? A . As long as a firm does not pay out 1 0 0 % of its earnings, the
Which of the following is correct?
A As long as a firm does not pay out of its earnings, the firm's annual profit that is retained in the business ie the addition to retained earnings is another source of funds for a firm's expansion,
B The maximum growth rate that a firm can achieve with no access to external capital is called the firm's selfsupporting growth rate. It can be calculated by using the AFN equation with AFN equal to zero and solving for g
C All of the above are correct
D None of the above is correct
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