If the Projected Growth Rate Is Smaller Than the Firm's

question 63

Multiple Choice

If the projected growth rate is smaller than the firm's sustainable growth rate:

• A)It should increase its projected growth rate
• B)The firm will be required to decrease its plowback ratio
• C)Its debt-equity ratio will decrease
• D)The firm will be required to increase borrowing

---

Definitions:

Table

A table is a structured arrangement of data or information organized in rows and columns for easy reference and analysis.

Table Preview

A feature allowing users to view a snapshot or brief display of a table's structure and content before fully loading or inserting it.

Insert Column

The action of adding a new column to a table or spreadsheet between existing columns.

Column Heading

The title or label at the top of a column in a table or spreadsheet, indicating the type of data or information contained within the column.