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Two of the dividend valuation models used in equity valuation are the zero growth model and the constant growth model. If you were trying to
Two of the dividend valuation models used in equity valuation are the zero growth model and the constant growth model. If you were trying to decide which model is best suited to use in valuing a particular company's common stock, what deciding factors would you take into account when trying to choose between the zero growth model and the constant growth model? When comparing the use of these two models, how would each impact the price you would be willing to pay today for that particular common stock issue?
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