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Which of the following conditions must hold true for the constant growth valuation formula to be useful and give meaningful results? The company’s stock cannot be a zero growth …

Which of the following conditions must hold true for the constant growth valuation formula to be useful and give meaningful results? The company’s stock cannot be a zero growth …
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Which of the following conditions must hold true for the constant growth valuation formula to be useful and give meaningful results? The company’s stock cannot be a zero growth stock. The company’s growth rate needs to change as the company matures. The required rate of return, r s , must be greater than the long-run growth rate.

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User Bradley Thomas
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Answer:

The required rate of return, r s , must be greater than the long-run growth rate.

Step-by-step explanation:

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User Djsly
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