An all-equity-financed firm plans to grow at an annual rate


An all-equity-financed firm plans to grow at an annual rate of at least 16%. Its return on equity is 24%. What is the maximum possible dividend payout rate the firm can maintain without resorting to additional equity issues? (Do not round intermediate calculations. Enter your answer as a percent rounded to 1 decimal place.)

Maximum dividend payout ratio

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Financial Management: An all-equity-financed firm plans to grow at an annual rate
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