Which of the Following Will Increase Sustainable Growth

question 78

Multiple Choice

Which of the following will increase sustainable growth?

• A) Buy back existing stock
• B) Decrease debt
• C) Increase profit margin
• D) Increase asset requirement or asset turnover ratio
• E) Increase dividend payout ratio

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Definitions:

Exchange Rate

How one currency's value is represented using another currency's value.

Indian Rupees

The official currency of India, abbreviated as INR, used as a medium of exchange within the country.

Absolute Purchasing Power Parity

A theory that suggests that in the absence of transaction costs and other barriers, the purchasing power of a currency is the same domestically as it is abroad.

Forward Exchange Rates

The exchange rates at which two parties agree to exchange currencies at a future date.