A firm is financing its growth with retained earnings

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A firm is financing its growth with retained earnings. It is retaining 80 percent of its annual earnings. The firm's historic return on equity is 16 percent, a figure that is expected to continue into the future. How much will earnings grow over the year? . A. 16% B. 3.2% C. 21.4% D. 12.8%

Reference no: EM131048477

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