propose an answer for exercise 3.1 , throughout the late 1950's, Myron J. Gordon formalizes the impact of distribution policies and their associated returns on current share price using the derivation of a constant growth formula , the mathematics for fully explained in the CVT text.

required:

1. present a mathematical summary of the Gordon Growth Model under conditions of certainty.
2. comment on its hypothetical implications for corporate management seeking to maximize shareholders wealth