The Rate at Which the Assets of a Firm Can

question 89

Multiple Choice

The rate at which the assets of a firm can grow without the requirement of external sources of financing is the:

• A) internal growth rate.
• B) sustainable growth rate.
• C) pro forma growth rate.
• D) plowback rate.

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Definitions:

Restitution

The act of compensating for loss, damage, or injury; in legal contexts, it often refers to returning the victim to their original position before the harm occurred.

Quasi Contract

A legal concept where a court enforces an obligation between two parties who have not agreed to an actual contract, to prevent one party from being unjustly enriched.

Oral Contracts

Agreements between parties that are made verbally and not memorialized in writing, yet are still legally binding in many cases.

Reformation

A court-ordered correction of a written contract so that it reflects the true intentions of the parties.