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Examveda

Calculation of formula in common stock valuation does not include

A. intrinsic value

B. dividend of stockholder

C. number of stock issued

D. expected growth rate

Answer: Option C

Solution(By Examveda Team)

Calculation of formula in common stock valuation does not include number of stock issued. Common stock valuation is the process of determining the value of a share of stock in a company. The holder of one share in a company that has one million shares outstanding is actually the owner of one-millionth of the company; the value of that share should represent that percentage of the company's worth.

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