Question: Answer fast in 5 mins please Question 2 Not yet answered Marked out of 10.00 Flag question The current dividend on an equity share of

Answer fast in 5 mins please
Answer fast in 5 mins please Question 2 Not yet answered Marked

Question 2 Not yet answered Marked out of 10.00 Flag question The current dividend on an equity share of A Limited is Rs.6.00 on an earnings per share of Rs. 60.00. (i) Assume that the dividend per share will grow at the rate of 25 percent per year for the next 6 years. Thereafter, the growth rate is expected to fall and stabilise at 15 percent. Investors require a return of 18 percent from A's equity shares. What is the intrinsic value of A's equity share? 1 A BI II! III 20

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