answersLogoWhite

0

Normal, or constant, growth occurs when a firm's earnings and dividends grow at some constant rate forever. One category of non-constant growth stock is a "supernormal" growth stock which has one or more years of growth above that of the economy as a whole, but at some point the growth rate will fall to the "normal" rate. This occurs, generally, as part of a firm's normal life cycle. A zero growth stock has constant earnings and dividends; thus, the expected dividend payment is fixed, just as a bond's coupon payment. Since the company is presumed to continue operations indefinitely, the dividend stream is perpetuity. Perpetuity is a security on which the principal never has to be repaid.

User Avatar

Wiki User

18y ago

What else can I help you with?

Continue Learning about Math & Arithmetic

Is x a variable term constant or expecion?

In mathematics, "x" is typically considered a variable term, as it represents an unknown value that can change or vary. It is not a constant since a constant has a fixed value. The term "exception" doesn't apply in this context, as it refers to something that does not conform to a general rule or pattern.


A what is a list of numbers that often forms a pattern?

A list of numbers that often forms a pattern is called a "sequence." Sequences can follow various rules, such as arithmetic sequences, where each number is obtained by adding a constant, or geometric sequences, where each number is obtained by multiplying by a constant. Examples include the Fibonacci sequence, where each number is the sum of the two preceding ones, and the natural numbers, which follow a simple incremental pattern. These patterns can reveal underlying mathematical principles and relationships.


What rule can be used to find each term in the pattern.?

To find each term in a pattern, identify the relationship between consecutive terms, which can often be expressed as a mathematical rule or formula. This could involve addition, subtraction, multiplication, or division, or a combination of these operations. For example, if each term increases by a constant value, the rule may be an arithmetic sequence; if each term is multiplied by a constant factor, it may be a geometric sequence. Once the rule is determined, it can be used to calculate any term in the pattern.


Which expression represents the number of dots for the nth member in this pattern?

To determine the expression representing the number of dots for the nth member in a pattern, we first need to analyze the pattern's growth. If the pattern shows a linear increase, it could be represented by a linear expression, such as ( an + b ), where ( a ) is the rate of increase and ( b ) is a constant. If the pattern grows quadratically, it might be represented by a quadratic expression like ( an^2 + bn + c ). Without additional details about the specific pattern, it's challenging to provide a precise expression.


What is the link between 5-12 8-14?

The link between 5-12 and 8-14 lies in their numerical relationships. Both pairs consist of two numbers where the second number is the result of adding a constant to the first: for 5-12, the constant is 7 (5 + 7 = 12), and for 8-14, the constant is 6 (8 + 6 = 14). This pattern suggests a connection through arithmetic operations, although the constants differ.

Related Questions

What is nature and scope of financial management?

1.estimating financial requriments. 2.selecting a source of finance. 3.selecting a pattern of investment. 4.proper cash management. 5.implementing financial control. 6.proper use of surplus.


What are the pattern of management analysis?

what are the pattern of management analysis


What is a sentence with the word constant?

my phone rang in a constant pattern.


What are the patterns of management?

what are the pattern of management analysis


What is the word for the definition having a regular repeating pattern?

a constant pattern


What is numerical pattern that increases or decreases at a constant rate or value?

An arithmetic sequence is a numerical pattern where each term increases or decreases by a constant value. This constant value is called the common difference.


What does a constant variable mean?

The variable will change at a constant rate. Its pattern will never be broken or changed throughout its process.


What are new financial trend for 2007?

A financial pattern, habit, or change that affects our society in general.


Search answer of the project management manual of disaster management?

describe the dendritic and trellis drainage pattern?


What has the author Mohammed A Tukur written?

Mohammed A. Tukur has written: 'Model financial memoranda and the pattern of financial transactions for local governments in Nigeria'


When individual in a population reproduce at a constant rate it produces a growth pattern?

It is called logistic growth.


What is economic trend?

A financial pattern, habit, or change that affects our society in general.