3. The earnings per share of XYZ Ltd. is `10 and the rate of capitalisation applicable is...

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● 3. The earnings per share of XYZ Ltd. is `10 and the rate of capitalisation applicable is 12%.

The company has before it an option of adopting

(a) 50% and

(b) 100% dividend payout ratio. Calculate the market price of the share as per Walter’s Model if it can earn a return of (i) 20% and (ii) 12% on its retained earnings.

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Financial Management

ISBN: 9789352605606

1st Edition

Authors: Swapan Sarkar, Bappaditya Biswas, Samyabrata Das, Ashish Kumar Sana

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Question Posted: Jul 23, 2024 06:01 AM

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3. The earnings per share of XYZ Ltd. is `10 and the rate of capitalisation applicable is...

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Financial Management

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