Question

Define gordons model? List out it's assumptions & formula ​

Answer 1

Answer:

u should check on Wikipedia as it tell much more accurately

Answer 2

Answer:

Assumptions of Gordon's Model:-

The firm is an all-equity firm; only the retained earnings are used to finance the investments, no external source of financing is used. The rate of return (r) and cost of capital (K) are constant. The life of a firm is indefinite. Retention ratio once decided remains constant.