1. Which of the following would decrease the sustainable growth rate if all other variables are held constant?
a. Increase in dividend payout ratio
b. An increase in equity
c. An increase in net income
d. Both a & b
e. All of the above
2. A company can raise money to purchase assets by:
a. borrowing money.
b. issuing stock.
c. using money earned.
d. Both a & b
e. All of the above.