Question: red highlighted answer is wrong Which statement is correct? Multiple Choice the dividend discount model is no longer applicable when there are stock repurchases. when

red highlighted answer is wrong

Which statement is correct? Multiple Choice the dividend discount model is no longer applicable when there are stock repurchases. when valuing free cash flow per share it is important to include both dividends per share and the cash received from repurchases shareholders like dividends because it is the only way that they can get their hands on cash. if capital investment and capital structure are held constant, smaller dividends mean larger repurchases

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