Question: Everything else equal, how would each of the following affect the market value of a stock? Indicate by a plus (+), minus (), or zero

Everything else equal, how would each of the following affect the market value of a stock? Indicate by a plus (+), minus (–), or zero (0) if the factor would increase, decrease, or have an indeterminate effect. Be prepared to justify your answer.

a. Investors require a higher rate of return to buy the stock. ______________

b. The company increases dividends. ______________

c. The company’s growth rate increases. ______________

d. Investors become more risk averse. ______________

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