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Basic Question 1 of 2

Which of the following will increase a company's sustainable growth rate of earnings?

A. increasing its dividend payout ratio.
B. increasing its return on equity.
C. decreasing its retention rate.

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I used your notes and passed ... highly recommended!


Learning Outcome Statements

calculate and interpret the sustainable growth rate of a company and demonstrate the use of DuPont analysis to estimate a company's sustainable growth rate;

CFA® 2024 Level II Curriculum, Volume 3, Module 23.