The Internal Growth Rate Is Best Described as the __________

question 29

Multiple Choice

The internal growth rate is best described as the __________ growth rate achievable:

• A)minimum;if the firm does not pay out any dividends
• B)minimum;if the firm maintains a constant equity multiplier
• C)maximum;without external financing of any kind
• D)maximum;without using any external equity financing,while maintaining a constant debt-equity ratio
• E)maximum;without any limits on the amount of debt financing used by the firm

---

Definitions:

Forward-bias

A condition in which a diode allows current to flow more easily, achieved by applying positive voltage to the anode relative to the cathode.

Enclosure

A housing or case designed to protect electronic or mechanical equipment from environmental conditions.

Conductive Dust

Dust particles that can conduct electricity, which can create short circuits and other electrical hazards if deposited on electronic components.