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A Company Calculates Its Discretionary Financing Needed and Determines This

Question 57

Multiple Choice

A company calculates its discretionary financing needed and determines this amount of capital cannot be raised at a reasonable cost.Which of the following would reduce the amount of discretionary financing needed?


A) reduce the company's net profit margin
B) reduce the company's sales growth rate
C) increase the company's dividend payout ratio
D) increase the proportion of the company's sales that are made on credit

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