Firm maximum rate of growth


Major Manuscripts, Inc. does not want to incur any additional external financing. The dividend payout ratio is constant. What is the firm's maximum rate of growth?

A. 7.44 percent

B. 7.78 percent

C. 9.26 percent

D. 9.75 percent

E. 10.90 percent

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Finance Basics: Firm maximum rate of growth
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