conceptual questions (1)

How will the change in required return influence the price of a stock? How will the dividend growth rate influence the price of a stock?

Which of the following will increase the price of a stock? Group of answer choices: A. Decrease in the required rate of return B. Decrease in the dividend growth rate C. Delay in the payment of dividends D. Decrease in earnings growth

1. Is stock bonus a real dividend payment in principle? 2. Briefly describe the information signaling effect caused by dividend reduction announcement (in terms of assumption and market reaction)

Which of the following statements is true of the dividend growth model? Multiple choice question. It determines the current price of a stock as its current dividend, divided by the discount rate, less the dividend growth rate. It determines the current price of a stock as its dividend next period, divided by the discount rate, less the dividend growth rate. It determines the current price of a stock as its dividend next period, divided by the discount rate, plus the dividend growth rate. It determines the current price of a stock as its current dividend, divided by the discount rate, plus the dividend growth rate.

Which of the following statements is true of the dividend growth model? Multiple choice question. It determines the current price of a stock as its dividend next period, divided by the discount rate, less the dividend growth rate. It determines the current price of a stock as its current dividend, divided by the discount rate, less the dividend growth rate. It determines the current price of a stock as its dividend next period, divided by the discount rate, plus the dividend growth rate. It determines the current price of a stock as its current dividend, divided by the discount rate, plus the dividend growth rate.

Which of the following statements is true of the dividend growth model? Multiple choice question. It determines the current price of a stock as its current dividend, divided by the discount rate, plus the dividend growth rate. It determines the current price of a stock as its dividend next period, divided by the discount rate, plus the dividend growth rate. It determines the current price of a stock as its dividend next period, divided by the discount rate, less the dividend growth rate. It determines the current price of a stock as its current dividend, divided by the discount rate, less the dividend growth rate.

Which of the following statements is true of the dividend growth model? Multiple choice question. It determines the current price of a stock as its dividend next period, divided by the discount rate, plus the dividend growth rate. It determines the current price of a stock as its current dividend, divided by the discount rate, plus the dividend growth rate. It determines the current price of a stock as its dividend next period, divided by the discount rate, less the dividend growth rate. It determines the current price of a stock as its current dividend, divided by the discount rate, less the dividend growth rate.

Which one of the following is an underlying assumption of the dividend growth model?     - A stock's value changes in direct relation to the required return.   - A stock has the same value to every investor.    - The dividend growth rate is inversely related to a stock's market price.   - A stock's value is equal to the discounted present value of the future cash flows that it generates.   - Stocks that pay the same annual dividend have equal market values.

Explain how to find the value of a stock given itslast dividend, its expected growth rate, and itsrequired rate of return.

When liabilites increase and stock holder equity decreases, what is the total assets?  shouldn't it be total liabilites plus total stock holder equity=total assets?

A dividend valuation model such as the following is frequent. where: Pi = the current price of Common Stock i D1 = the expected dividend in Period 1 ki = the required rate of return on Stock i gi = the expected constant-growth rate of dividends for Stock i   Identify the three factors that must be estimated for any valuation model, and explain why these estimates are more difficult to derive for common stocks than for bonds . Explain the principal problem involved in using a dividend valuation model to value: (1) companies whose operations are closely correlated with economic cycles. (2) companies that are of very large and mature. (3) companies that are quite small and are growing rapidly.

Please make sure the answers are clear n easy to read.

Which of the following represents the value of a stock calculated using the zero-growth model? Multiple choice question. (Dividends)Discount rate Dividends / Discount rate Dividends × Discount rate Discount rate / Dividends

Based on the dividend growth model, what are the two components of a stock’s rate of return?

Dividend Policy and Retained Earnings The year is 2002 and you are an investor in a company called "Amazon." You are attending an annual shareholder meeting, where their founder Jeff is talking about building warehouses all around the country. The meeting progresses to the Q&A section and it's clear the shareholders are not pleased with the lack of dividends so far. Listen to their concerns and offer advice on Amazon's dividend policy.