There are three ways to determine g for the constant growth rate dividend discount model. Which of the following would be a good estimate for g for a stock with earnings growing at a constant rate and with dividends being paid out as a constant percentage of earnings.
I the capital gains yield
II the expected return on retained earnings multiplied by the payout ratio
III the rate the dividends have been growing in the past
I only
II only
I and II
I and III
I, II and III