The Dividend Growth Model Can Be Used to Value the Stock

question 60

Multiple Choice

The dividend growth model can be used to value the stock of firms which pay which type of dividends? I. constant annual dividend
II) annual dividend with a constant increasing rate of growth
III) annual dividend with a constant decreasing rate of growth
IV) zero dividend

• A) I only
• B) II only
• C) II and III only
• D) I, II, and III only
• E) I, II, III, and IV

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