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Under the constant growth model of stock valuation, the expected value of a stock (i.e., the expected price at the end of the year) is
Under the constant growth model of stock valuation, the expected value of a stock (i.e., the expected price at the end of the year) is a function of which of the following?
a. | The most recent dividend, the expected dividend growth rate, and the required rate of return on the stock |
b. | The most recent dividend, the expected dividend growth rate, and the expected capital gains yield |
c. | The expected dividend growth rate, the required rate of return on the stock, and the expected capital gains yield |
d | The most recent dividend, the expected dividend growth rate, the required rate of return on the stock, and the expected capital gains yield |
e | None of the above |
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