A firm should set its growth target equal to its


Which of the following statements is false?

a. A firm should set its growth target equal to its sustainable growth rate.

b. The sustainable growth concept can highlight tensions associated with "competing" objectives within the firm.

c. Generating a higher profit margin provides fuel for a higher sustainable growth rate, holding everything else equal.

d. The primary advantage of the sustainable growth model is its simplicity.

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Financial Management: A firm should set its growth target equal to its
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