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Digiron [165]
3 years ago
9

The constant dividend growth model: a. is more complex than the differential growth model. b. requires the growth period be limi

ted to a set number of years. c. is never used because firms rarely attempt to maintain steady dividend growth. d. can be used to compute a stock price at any point in time. e. most applies to stocks with differential growth rates.
Business
1 answer:
Finger [1]3 years ago
8 0

Answer:

The correct answer is letter "D": can be used to compute a stock price at any point in time.

Explanation:

The Gordon Growth Model, also known as the Constant Dividend Growth Model, is used to measure the value of the stock at any point in time based on the projected future dividends of the stock. Investors and analysts are commonly used to compare the estimated value of the stock against the current market price. Analysts interpret the gap between the two prices as proof that the stock could be under or overvalued by the market.

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madreJ [45]

Answer:

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Explanation:

A contract is essentially an arrangement among two parties which creates a legal duty for both sides to carry out specific events. Each group is required by law to perform the job indicated, such as making the payment or transporting goods.

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aleksandr82 [10.1K]

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