Hungry Howie's maintains a constant payout ratio.The firm is currently operating at full capacity.What is the maximum rate at which the firm can grow without acquiring any additional external financing?
A)9.74 percent
B)12.97 percent
C)13.06 percent
D)13.58 percent
E)14.23 percent

Question

Hungry Howie's maintains a constant payout ratio.The firm is currently operating at full capacity.What is the maximum rate at which the firm can grow without acquiring any additional external financing?
A)9.74 percent 
B)12.97 percent 
C)13.06 percent 
D)13.58 percent 
E)14.23 percent

Quizplus · Accepted Answer

The Answer of  
Hungry Howie's maintains a constant payout ratio.The firm is currently operating at full capacity.What is the maximum rate at which the firm can grow without acquiring any additional external financing?
A)9.74 percent 
B)12.97 percent 
C)13.06 percent 
D)13.58 percent 
E)14.23 percent

Hungry Howie's Maintains a Constant Payout Ratio