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Which of the following statement is true? If the dividend grows at a constant rate forever and the required rate of return remains the same,

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Which of the following statement is true? If the dividend grows at a constant rate forever and the required rate of return remains the same, the capital gains yield will be the same as the dividend growth rate. There is a negative relationship between the stock price and the growth rate in dividends, everything else equal. o If the dividend amount and the required rate of return never change, the stock will never have any capital gain. Therefore, one should never invest in such a stock. There is a positive relationship between the stock price and the required rate of return for the stock, everything else equal

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