4. Sahu & Co. earns `6 per share having capitalisation rate of 105 and a Rate of...
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4. Sahu & Co. earns `6 per share having capitalisation rate of 105 and a Rate of Return on Investment at the rate of 20%. According to Walter’s Model what will be the price per share at 30% dividend payout ratio? Is this the optimum payout ratio as per Walter?
[C.A Final Nov. 2002]
[Ans. P = `102, No, Optimal is Zero.]
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Financial Management
ISBN: 9789352605606
1st Edition
Authors: Swapan Sarkar, Bappaditya Biswas, Samyabrata Das, Ashish Kumar Sana
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