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A Company has total investment of Rs . 5 Lakhs assets and 5 0 , 0 0 0 outstanding equity shares of Rs . 1
A Company has total investment of Rs Lakhs assets and outstanding
equity shares of Rs each. It earns a rate of on its investment and has a policy of retaining of the earnings. If the appropriate discount rate for the firm is you are required to determine the price of its share using Gordon model. What shall happen to the price, if the company has a payout of and
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