Walter Model Marico Limited has a rate of return of 12% with the cost of capital of 10%. The earnings per share for the current year is 50. The manager wants to value the equity share of the company by applying the Walter model when the dividend payout ratio is (a) 0%, (b) 20%, (c) 40%, and (d) 100%. Help him calculate the same. 01. Stock value: 600 at 0% | 580 at 20% | 560 at 40% | 500 at 100% 02 Stock value: 400 at 0% | 420 at 20% | 440 at 40% | 500 at 100% 03 Stock value: 500 at 0% | 560 at 20% | 580 at 40% | 6500 at 100%