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Which of the Following Actions Might a Firm Take If

Question 1

Multiple Choice

Which of the following actions might a firm take if its actual sales growth exceeds its sustainable rate of growth?
I.Increase prices
II.Decrease financial leverage
III.Decrease dividends
IV.Prune away less marginal products


A) I and II only
B) I and III only
C) I, II, and IV only
D) I, III, and IV only
E) I, II, III, and IV
F) None of the above.

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