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Examveda

Dividend present value for period of non-constant growth in addition with horizon value is used to calculate

A. stock extrinsic value

B. stock intrinsic value

C. dividend intrinsic value

D. stock intrinsic value

Answer: Option B

Solution(By Examveda Team)

Dividend present value for period of non-constant growth in addition with horizon value is used to calculate stock intrinsic value. Intrinsic value refers to an investor's perception of the inherent value of an asset, such as a company, stock, option, or real estate. Knowing an investment's intrinsic value is useful for value investors who have a goal of buying stocks and other investments at a discount to this amount.

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