The Value of a Share Is Given by the Present

question 8

Multiple Choice

The value of a share is given by the present value of which cash flows?

• A)Future dividends only
• B)The last dividend and future dividends
• C)The current dividend and future dividends
• D)The most recent dividend and future dividends

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Definitions:

Work

Mental or physical activity that has productive results.

Critical Thinking

The method of diligently and adeptly forming, utilizing, examining, combining, and assessing data to arrive at a solution or determination.

Economy Sectors

The divisions of an economy into different groups or categories of activities, such as the agricultural, service, and industrial sectors.

Global Competition

The scenario in which companies and businesses from around the world compete with each other to capture market share and achieve higher sales and profits.