Which of the Following, Holding All Other Variables Constant, Will

question 10

Multiple Choice

Which of the following, holding all other variables constant, will cause an INCREASE in a constant growth stock's current value?

• A)An increase in the growth rate
• B)An increase in the market return (k)
• C)An increase in the number years the stock is held
• D)Both a & b
• E)All of the above

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Definitions:

Increased By

A mathematical operation indicating that a certain value should be added to another value, resulting in a larger amount.

Percent

A way to express a number as a fraction of 100, symbolized by the "%" sign.

Result

The final outcome or answer obtained from a calculation or experiment.

Increased By

A term indicating that a certain value has been added to the original amount, leading to a higher total.