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Business, 17.08.2021 17:10 kkmcfly

Which of the following is False? a. For the constant growth model to hold, a firm's cost of equity (r) needs to be greater than its constant dividend growth rate (i. e..ts > 8).
b. From the constant growth model, if the constant dividend growth rate is equal to zero, a firm's share price is equal to the constant dividend divided by the cost of equity (i. e., g=0).
c. For the constant growth model to hold, a firm's cost of equity (r) needs to be smaller than its constant dividend growth rate (i. e., Is < g).
d. If a company's constant dividend growth rate is negative, the formula for the constant growth model can still be applied.

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Which of the following is False? a. For the constant growth model to hold, a firm's cost of equity...
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