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Which of the following is ( are ) true according to the Constant Dividend Growth Model ( or Gordon Model ) ? The dividend growth
Which of the following is are true according to the Constant Dividend Growth Model or Gordon Model
The dividend growth model only holds if at some point in time, the dividend growth rate exceeds the stock's required return.
II A decrease in the dividerind growth rate will increase a stock's market value, all else the same.
III. An increase in the required return on a stock will decrease its market value, all else the same.
A I only
B III only
C II and III only
D I, II and III
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