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Management · Q889

Financial Management

Graduate and Post Graduate · Management · question 889

Q889

Growth rate which is predicted by marginal investors for dividends is classified as

A.
expected growth rate
Answer
B.
annual growth rate
C.
past growth rate
D.
unexpected growth rate

Answer: Option A

Solution

Answer: Option A
Solution:
Growth rate which is predicted by marginal investors for dividends is classified as expected growth rate. Growth rates refer to the percentage change of a specific variable within a specific time period and given a certain context.