One of the assumptions of the Gordon Growth Model is that dividends will continue growing at ________ rate
A) an increasing
B) a fast
C) a constant
D) an escalating
C
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The presence of different technologies can allow greater efficiency because one technology is better at peak times and the other is better at all times
Indicate whether the statement is true or false
A pizza shop owner who needs to buy a new pizza oven is trying to decide between two different used ones. Whichever oven he buys, it will generate $6,000 net revenue per year. But the older pizza oven has a useful life of only 3 years and the newer oven has a useful life of 5 years. If the interest rate is 7% per year, what is the difference in value between the two ovens? (Assume that each
year's revenue is received at the end of the year.) a. 413.25 b. $10,892.99 c. $15,745.90 d. $24,601.18 e. $8,855.29