As Illustrated Using the Dividend Growth Model, the Total Return

question 49

Multiple Choice

As illustrated using the dividend growth model, the total return on a share of common stock is comprised of a ________________.

• A) Capital gains yield and a dividend growth rate.
• B) Capital gains growth rate and a dividend growth rate.
• C) Dividend payout ratio and a required rate of return.
• D) Dividend yield and the present dividend.
• E) Dividend yield and a capital gains yield.

---

Definitions:

Persuading Client

The act of convincing a customer or client to take a desired action or adopt a particular viewpoint.

Routine Inquiry

Involves standard requests for information or confirmation on various subjects, typically conducted in a formal business context.

Indirect Approach

A method of communication or problem-solving that is not straightforward, instead using suggestions, implications, or other roundabout ways to convey a message.

We-viewpoint

A perspective in communication or writing that emphasizes collective action or observation, typically using pronouns like "we" and "us."