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Which of the following statements is correct if a firms pro forma financial statements project net income of $12,000 and external financing required of $5,000?

Which of the following statements is correct if a firm’s pro forma financial statements project net income of $12,000 and external financing required of $5,000?

Total assets cannot grow by more than $10,000.

Dividends cannot exceed $10,000.

Retained earnings cannot grow by more than $12,000.

Long-term debt cannot grow by more than $5,000.

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