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    Principles of Finance
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    Exam 17: Investment Analysis and Valuation Techniques
  5. Question
    The Dividend Discount Model (DDM)cannot Be Used to Value the Stock
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The Dividend Discount Model (DDM)cannot Be Used to Value the Stock

Question 52

Question 52

True/False

The dividend discount model (DDM)cannot be used to value the stock of a company that has never paid a dividend and does not expect to pay a dividend in the near term.

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