Which One of the Following Statements Is NOT True About

question 7

Multiple Choice

Which one of the following statements is NOT true about the general dividend valuation model?

• A) The model does not assume any specific pattern for dividend growth.
• B) It makes a specific assumption about when the stock is going to be sold in the future.
• C) The model calls for forecasting an infinite number of dividends for a stock.
• D) All of the above are true.

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Definitions:

Days' Sales Uncollected

A financial metric reflecting the average number of days it takes for a company to collect payment after making a sale.