Type T/F for each statement.
Every stock can be priced by the Dividend Discount Model
Bonds have 2 sources of future cashflow, they include coupon and final maturity value
Stock cashflows are considered more risky because they fixed during the lifetime of the stock
In our pricing models for stocks, if ke is large , the current price Po would be low
In the Gordon growth model, g is assumed to be less than ke, otherwise price can be negative
The one period model for stock prices looks very similar to the zero coupon bond pricing
Interest rates are really only important to be aware of for Bond markets
Efficient Market Hypothesis is a theory to explain only stock prices