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    Fundamentals Of Corporate Finance Study Set 21
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    Exam 4: Long-Term Financial Planning and Corporate Growth
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    A Firm Has an ROE of 7
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A Firm Has an ROE of 7

Question 256

Question 256

Multiple Choice

A firm has an ROE of 7.5% and an ROA of 13.5%. What is the internal growth rate if the firm has a 40% dividend payout ratio?


A) 4.71%
B) 5.71%
C) 8.10%
D) 8.81%
E) 9.19%

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