Question: (1) 4 (2) 4 (3) 8 (4) 3 (1) 5 (2) 5 Mre these reasonahin revire? Are these reasonable results? 1. These results show that

(1) 4 (2) 4 (3) 8 (4) 3 (1) 5 (2) 5 Mre these reasonahin revire? Are these reasonable results? 1. These results show that the formula makes sense if the required rate of return is equal to or less than the expected yeyth rate. 11. These realts show that the formuta makes sense if the required rate of return is equal to or greater than the expectitut is ithil fatn. III. These results show that the formula does not make sense if the expected growth rate is equal to or less than the required rate of raturt. IV. These results show that the formula dons not make sense if the required rate of retum is equal to or fess than the expected growit rate V. These results show that the formula does not make sense if the required fate of refurn is equal to or greater than the eroected growtf, fate C. Is it reasonable to think that a constant growth stock could have g> ra? 1. It is reasonable for a firm to grow indefinitely at a rate higher than its required return. 11. It is not reasonable for a firm to grow even for a shart period of time at a rate higher than its reguired return. 1If. It is not reosonable for a firm to grow indefinitely at a rate lower than its reguired return. IV. It is not reasonable for a firm to grow indefinitely at a rate equal to its required retuin. V. It is not reasonable for a firm to grow indefinitely at a rate higher than its required return
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