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The dividend growth model yields a plausible estimate the cost of equity for a firm in which of the following situations? A firm that has

The dividend growth model yields a plausible estimate the cost of equity for a firm in which of the following situations?

  1. A firm that has a 100% retention ratio
  2. A firm that pays an unchanging dividend
  3. A firm that pays a constantly increasing dividend
  4. A firm with unpredictable dividend payments

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