The internal growth rate of a firm is best described as the:

The internal growth rate of a firm is best described as the:


-Minimum growth rate achievable assuming a 100 percent retention ratio.


-Minimum growth rate achievable if the firm maintains a constant equity multiplier.


-Maximum growth rate achievable excluding external financing of any kind.


-Maximum growth rate achievable excluding any external equity financing while maintaining a constant debt-equity ratio.


-Maximum growth rate achievable with unlimited debt financing.



Answer: Maximum growth rate achievable excluding external financing of any kind


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