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The dividends-and-earnings approach (D&E) approach to stock valuation and the variable-growth DVM appreach are similar in that both approaches 1. are present-value based 2. use

The dividends-and-earnings approach (D&E) approach to stock valuation and the variable-growth DVM appreach are similar in that both approaches

1. are present-value based

2. use the historical dividend growth rate as the key input figure

3. consider the future selling price of the stock but ignore future dividends

4. consider dividends only and ignore the future selling price of the stock

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