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In case of Gordon’s Model, the MP for zero payout is zero. It means that

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In case of Gordon’s Model, the MP for zero payout is zero. It means that

 Options:

A. Shares are not traded
B. Shares available free of cost
C. Investors are not ready to offer any price
D. None of the above

 

The Correct Answer Is:

  • C. Investors are not ready to offer any price

 

Conclusion

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