Chapter 4 The Value of Common Stocks
A) Stocks with constant dividend growth . B) Businesses . C) Stocks with super normal dividend growth . D) All of the above . Answer: D. Type: Medium. Page: 77 41. The value of a business is given by: A) PV = PV(free cash flows) B) PV = PV(free cash flows) + PV (horizon value) C) PV(free cash flows) – PV(horizon value) D) None of the above ... ................
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