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Author Question: Gerentology Associates, a highly profitable company, is considering two growth strategies, one that ... (Read 146 times)

evelyn o bentley

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on: Jul 10, 2018
Gerentology Associates, a highly profitable company, is considering two growth strategies, one that
  will achieve sales growth of 20 in one year, and the other that will achieve 20 growth in sales,
  but over a 4-year time frame.
 
  Assuming Gerentology Associates uses the percent of sales method,
  which of the following statements is true?
  A) Discretionary financing needed could be much greater for the slow growth strategy because
  interest charges will accumulate on the company's debt.
  B) The asset balances at the end of 4 years for strategy two will be much greater than the asset
  balances required at the end of year one for strategy one.
  C) Discretionary financing needed will be much greater for the 4-year growth strategy.
  D) Discretionary financing needed could be much less for the 4-year growth strategy due to
  retained earnings.

Question 2

Because financial markets can be extremely volatile, with bond and stock prices changing
  significantly from day to day, a firm's management has much greater control over the firm's
  operating leverage than over its financial leverage.
 
  Indicate whether the statement is true or false
Foundations of Finance ¦ Keown, Petty, Martin ¦ 9th Edition
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Viet Thy

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Reply #1 on: Jul 10, 2018
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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evelyn o bentley

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Reply 2 on: Jul 10, 2018
YES! Correct, THANKS for helping me on my review

Missbam101

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

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