Section B (2 Mark)
Equity stock of X ltd. is currently selling at Rs. 35/- per share. The dividend expected next year is Rs. 2/- per share and the investor’s required return in this stock is 15 % per annum. If the constant Growth Model applies to X ltd. then calculate the Growth Rate.
Section B (2 Mark)
Which of the following statements is / are correct?
Section B (2 Mark)
Shiva Industries Ltd. earns Rs. 2 per share and distributes 40% of its earnings as cash dividends. Its dividends grew annually at 7%. What will be the stock’s price if the required rate is 10%?
Section A (1 Mark)
Which of the following comes at the high end of product margin in the value added pyramid of wealth management?