Fight Finance

Courses  Tags  Random  All  Recent  Scores

Scores
keithphw$5,541.61
DanielDng$2,340.70
Visitor$830.00
Visitor$610.00
Visitor$240.00
Visitor$223.09
Visitor$210.00
Visitor$170.00
Visitor$160.00
Visitor$150.00
Visitor$150.00
Visitor$130.00
Visitor$120.00
Visitor$120.00
Visitor$90.00
Visitor$80.00
Visitor$66.43
Visitor$60.00
Visitor$50.00
Visitor$50.00
 

Question 3  DDM, income and capital returns

The following equation is called the Dividend Discount Model (DDM), Gordon Growth Model or the perpetuity with growth formula: ### P_0 = \frac{ C_1 }{ r - g } ###

What is ##g##? The value ##g## is the long term expected:




Copyright © 2014 Keith Woodward