Question: An increase in which of the following will increase the current value of a stock according to the dividend growth model? I. Dividend amount II.
An increase in which of the following will increase the current value of a stock according to the dividend growth model?
I. Dividend amount
II. Number of future dividends, provided the current number is less than infinite
III. Discount rate
IV. Dividend growth rate
a. I and II only
b. III and IV only
c. I, II, and III only
d. I, II, and IV only
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