{"id":413,"date":"2017-11-07T11:53:10","date_gmt":"2017-11-07T05:53:10","guid":{"rendered":"https:\/\/mcqacademy.com\/en\/mcq\/a-firm-wishes-to-maintain-a-growth-rate-of-8-percent-and-a-ratio-constant\/"},"modified":"2017-11-07T11:53:10","modified_gmt":"2017-11-07T05:53:10","slug":"a-firm-wishes-to-maintain-a-growth-rate-of-8-percent-and-a-ratio-constant","status":"publish","type":"mcq","link":"https:\/\/mcqacademy.com\/en\/mcq\/a-firm-wishes-to-maintain-a-growth-rate-of-8-percent-and-a-ratio-constant\/","title":{"rendered":"A firm wishes to maintain a growth rate of 8 percent and a&#8230;.ratio constant?"},"content":{"rendered":"<p>A firm wishes to maintain a growth rate of 8 percent and a dividend payout ratio of 62 percent. The ratio of total assets to sales is constant at 1, and the profit margin is 10 percent. What must the debt-equity ratio be if the firm wishes to keep that ratio constant?<\/p>\n","protected":false},"author":34,"featured_media":0,"comment_status":"open","ping_status":"closed","template":"","topic":[72],"subject":[7],"class_list":["post-413","mcq","type-mcq","status-publish","hentry","topic-long-term-financial-planning-and-growth","subject-corporate-finance"],"mcq_note":"A firm wishes to maintain a growth rate of 8 percent and a dividend payout ratio of 62 percent. The ratio of total assets to sales is constant at 1, and the profit margin is 10 percent. What must the debt-equity ratio be if the firm wishes to keep that ratio constant?Answer:0.95.","mcq_options":[{"right":"no","answer":"0.05"},{"right":"no","answer":"0.40"},{"right":"no","answer":"0.55"},{"right":"yes","answer":"0.95"}],"multi_answers":"no","subject_terms":[{"id":7,"title":"Corporate Finance","slug":"corporate-finance"}],"topic_terms":[{"id":72,"title":"Long-Term Financial Planning and Growth","slug":"long-term-financial-planning-and-growth"}],"_links":{"self":[{"href":"https:\/\/mcqacademy.com\/en\/wp-json\/wp\/v2\/mcq\/413","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/mcqacademy.com\/en\/wp-json\/wp\/v2\/mcq"}],"about":[{"href":"https:\/\/mcqacademy.com\/en\/wp-json\/wp\/v2\/types\/mcq"}],"author":[{"embeddable":true,"href":"https:\/\/mcqacademy.com\/en\/wp-json\/wp\/v2\/users\/34"}],"replies":[{"embeddable":true,"href":"https:\/\/mcqacademy.com\/en\/wp-json\/wp\/v2\/comments?post=413"}],"wp:attachment":[{"href":"https:\/\/mcqacademy.com\/en\/wp-json\/wp\/v2\/media?parent=413"}],"wp:term":[{"taxonomy":"topic","embeddable":true,"href":"https:\/\/mcqacademy.com\/en\/wp-json\/wp\/v2\/topic?post=413"},{"taxonomy":"subject","embeddable":true,"href":"https:\/\/mcqacademy.com\/en\/wp-json\/wp\/v2\/subject?post=413"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}