Brevik Builders Has an Expected ROE of 25

question 15

Multiple Choice

Brevik Builders has an expected ROE of 25%.Its dividend growth rate will be __________ if it follows a policy of paying 30% of earning in the form of dividends.

• A) 5.0%
• B) 15.0%
• C) 17.5%
• D) 45.0%

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Definitions:

Vernalization

Stimulation of flowering in spring by long exposure to low temperature in winter.

Statoliths

Small granules, often made of calcium carbonate, found within certain cells associated with the detection of gravitational orientation in plants and some invertebrate animals.

Gravity-sensing Cells

Specialized cells in organisms that detect and respond to gravity, guiding growth and movement direction.

Organelles

Specialized structures within a cell that perform distinct processes necessary for the cell's life.