If a Stock's Dividend Growth Rate or Discount Rate Changes

question 34

True/False

If a stock's dividend growth rate or discount rate changes even a small amount, the change in the price calculated by the constant growth model can be very large.

---

Definitions:

Parenteral

A route of administering medications or nutrients bypassing the digestive system, often through injections.

Sublingual

Pertaining to or situated under the tongue, often used in reference to the administration of medication.

Topical

Pertaining to the surface, especially medications or treatments applied directly to a particular area of the body.

Parenteral

Administering substances into the body in a manner other than through the digestive system, such as by intravenous or intramuscular injection.