5. A company has outstanding 10 lakh shares. The company needs 5 crore to finance its investments,...

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5. A company has outstanding 10 lakh shares. The company needs 5 crore to finance its investments, for which 1 crore is available out of profits. The market price of per share at the end of current year is expected to be 120. If the discount rate is 10 per cent, determine the present value of a share using the MM model.

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