Simplify Each Term, If Necessary, and Then Use the Distributive

question 36

Short Answer

Simplify each term, if necessary, and then use the distributive property to combine terms, if possible.

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Definitions:

Maximum Rate of Growth

The highest possible expansion rate that a business can achieve without obtaining additional financing from external sources.

Sustainable Rate Of Growth

The maximum rate at which a company can grow its revenues without needing to obtain additional financing.

Profit Margin

A financial metric indicating the percentage of revenue that exceeds the costs of goods sold, representing the proportion of sales that turns into profit.

Dividend Payout Ratio

The percentage of earnings paid to shareholders in dividends, calculated by dividing the total dividends by the net income for the same period.