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a. Mr. X is planning to buy an equity share, hold it for 2 years and then sell it. The expected dividend at the end
a. Mr. X is planning to buy an equity share, hold it for 2 years and then sell it. The expected dividend at the end of year 1 is Rs 7 and Rs. 7.50and the end of year 2 . The expected selling price of the share at the end of year 2 is Rs. 220. Calculate the value of the share today taking 15% discount. b. A company uses a particular material in a factory is 20,000 units per year. The cost per unit of material is Rs. 10. The cost of placing one order is Rs. 100 and the inventory carrying cost is 20% of the average inventory. From the above information :Calculate:- 1. Economic order quantity. 2. How many orders approximately should be placed in a year
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