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Katarina [22]
2 years ago
12

The main reason for considering nonconstant growth in dividends is to allow for _____ growth rates over _____.

Business
1 answer:
JulsSmile [24]2 years ago
7 0

Based on the economic and financial analysis, the main reason for considering <u>nonconstant growth</u> in dividends is to allow for "<u>Supernormal</u>" growth rates over "<u>some finite length of time</u>."

This is because, in nonconstant growth, the growth rate cannot surpass the mandatory return indefinitely.

However, there is the probability that it could do so for some number of years.

Also, it should be noted that in this situation, the value of the stock equates to the present value of all the future dividends.

Hence, in this case, it is concluded that the correct answer is <u>supernormal</u> and <u>some finite length of time</u>.

Learn more here: brainly.com/question/13223703

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"An individual is unique and does not speak for or represent anything other than themselves." This statement is an argument agai
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​Matthew's Fish Fry has a monthly target operating income of​ $6,600. Variable expenses are​ 80% of sales and monthly fixed expe
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Answer:

The correct answer is C

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