A Firm's Expected Growth Rate Increased Then Its Required Rate

question 7

Multiple Choice

a firm's expected growth rate increased then its required rate of return would

• A) decrease.
• B) fluctuate less than before.
• C) fluctuate more than before.
• D) possibly increase, possibly decrease, or possibly remain constant.
• E) increase.

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Definitions:

Ethernet

A common local area network protocol.

WAN

Wide Area Network, a computer network that extends over a large geographical area, connecting multiple smaller networks such as local area networks (LANs).

POTS

Abbreviation for Plain Old Telephone Service, referring to the standard telephone service that has been the traditional form of residential and small business service connection to the telephone network.

Dial-Up

An internet connection technology that connects users to the internet through a standard telephone line at slow speeds.