The relationship between the two key elements of the constant dividend growth model is
A. that the next dividend (for example, the dividend at the end of year 2) is less
than the prior dividend (for example, the dividend at the end of year 1).
B. that the growth rate is always positive and greater than the discount rate.
C. assumes the growth rate is always more than the discount rate.
D. the long run growth rate is positive o none of the above

Q&A Education