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One of the Assumptions of the Constant Growth Dividend Valuation

Question 2

Multiple Choice

One of the assumptions of the constant growth dividend valuation model is that


A) the investor's required rate of return is equal to the expected dividend yield.
B) the required rate of return is greater than the dividend growth rate
C) the required rate of return increases at a constant rate
D) the dividend rate (in dollars) will remain constant

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