The Top Shop Has Net Income of $240 and Total

question 67

Multiple Choice

The Top Shop has net income of $240 and total equity of $2,000.The debt-equity ratio is 1 and the plowback ratio is 40 percent.What is the internal growth rate?

• A)2.46%
• B)3.00%
• C)4.92%
• D)5.88%
• E)6.00%

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Definitions:

Canola Oil

A type of edible cooking oil derived from varieties of the rapeseed plant, known for its low saturated fat content.

Peanut Oil

A type of vegetable oil derived from peanuts and commonly used in cooking and frying due to its high smoke point and neutral taste.

Kwashiorkor

A severe form of malnutrition caused by a lack of dietary protein, characterized by swelling, stunted growth, and other health issues.

Protein

Essential nutrients used by the body for building, repairing tissues, and making enzymes and hormones.