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One Can Estimate the Dividend Growth Rate for a Stable

Question 8

Multiple Choice

One can estimate the dividend growth rate for a stable firm as


A) plow-back rate/the return on equity (ROE) .
B) plow-back rate - the return on equity (ROE) .
C) plow-back rate + the return on equity (ROE) .
D) plow-back rate × the return on equity (ROE) .

Correct Answer:

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