Answer:
True
Explanation:
Yes, as there is an increase in dividend with the same expected return, share price increases using dividend growth model.
As for example current dividend = $5
And expected return = 10%
Price of share = 5/10% = $50
In case dividend is increased to $10 then share market price = $10/10% = $100
Now, with an increase in dividend rate, there is an increase in market price accordingly company can raise dividend in order to raise the share price accordingly.
Further, this might not be possible when dividend is fixed for the period as dividend is fixed with no further growth rate the price will also be fixed. So every time when the price is to be increased, the dividend has to be increased.
Therefore, above statement is true.
Do you have any more info
Answer:
conducts
Explanation:
a fuse consists of a metal strip of wire fuse element, of small cross-section compared to the circuit conductors, mounted between a pair of electrical terminals,and (usually) enclosed by a non-combustible housing. The fuse is arranged in series to carry all the current passing through the protected circuit.