Question: 1 - Discuss the similarities and differences between the discounted dividend and corporate valuation models. 2 - If you bought a share of common stock,

1 - Discuss the similarities and differences between the discounted dividend and corporate valuation models.

2 - If you bought a share of common stock, you would probably expect to receive dividends plus an eventual capital gain. Would the distribution between the dividend yield and the capital gains yield be influenced by the firm's decision to pay more dividends rather than to retain and reinvest more of its earnings? Explain.

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