What Is the Model Called That Determines the Present Value

question 67

Multiple Choice

What is the model called that determines the present value of a stock based on its next annual dividend,the dividend growth rate,and the applicable discount rate?

• A)zero growth
• B)dividend growth
• C)capital pricing
• D)earnings capitalization
• E)discounted dividend

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Definitions:

Heavy Drinkers

Individuals who consume alcoholic beverages in amounts that exceed the standard guidelines for moderate drinking.

Temperance Movement

A social movement against the consumption of alcoholic beverages, aiming for moderation or complete abstinence.

18th Amendment

An amendment to the U.S. Constitution prohibiting the manufacture, sale, and transportation of alcoholic beverages; later repealed by the 21st Amendment.

Import Quotas

Limitations set by a government on the number or value of goods that can be imported into a country within a specified time frame.