Multiple Choice
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?
A) Total assets cannot grow by more than $10,000.
B) Dividends cannot exceed $10,000.
C) Retained earnings cannot grow by more than $12,000.
D) Long-term debt cannot grow by more than $5,000.
Correct Answer:
Verified
Correct Answer:
Verified
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