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What is the basic assumption of the constant - growth model? If the dividend amount changes each year, it does so by a constant percentage.
What is the basic assumption of the constantgrowth model?
If the dividend amount changes each year, it does so by a constant percentage.
The model assumes that dividends become a constant dollar amount after a set number of years.
Dividends increase by a constant dollar amount each year.
Dividends must increase by a constant percentage each year.
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