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Author Question: Which of the following statements is FALSE regarding profitable and unprofitable growth? (Read 383 times)

MirandaLo

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on: Jul 9, 2019
Which of the following statements is FALSE regarding profitable and unprofitable growth?
◦ Cutting the firm's dividend to increase investment will raise the stock price if, and only if, the new investments have a positive net present value (NPV).
◦ If the firm retains more earnings, it will be able to pay out less of those earnings, which means that the firm will have to reduce its dividend.
◦ A firm can increase its growth rate by retaining more of its earnings.
◦ If a firm wants to increase its share price, it must cut its dividend and invest more.
Fundamentals of Corporate Finance ¦ Berk, DeMarzo, Harford ¦ 2nd Edition
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Marked as best answer by MirandaLo on Jul 9, 2019

onowka

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Reply #1 on: Jul 9, 2019
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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MirandaLo

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Reply #2 on: Jul 9, 2019
Thank you!


onowka

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Reply #3 on: Jul 9, 2019
Always glad to help...


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