If a firm declared 25% dividend on share of Face Value of ₹10, its growth rate is 5%, and if the rate of capitalization is 12%, its expected price would be ₹__________.

CS Executive · Financial and Strategic Management · PYQS · December 2019
If a firm declared 25% dividend on share of Face Value of ₹10, its growth rate is 5%, and if the rate of capitalization is 12%, its expected price would be ₹__________.
(A) 31.25
(B) 33.50
(C) 36.00
(D) 37.50

Answer & Explanation:

Correct Answer: Option (D)

Official answer key: (D).

Topics: Financial Management

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