Current price value of the company-mohamed ltd

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Mohamed Ltd established business in the year 1985 and past all the year's company was making a very decent amount of profit from its operation. The company do pay very attractive dividend for its shareholder during the past one decades. Mohamed Ltd just paid dividend of MVR 2.50 per share for its ordinary shareholders. The company expect the dividend will grow at a constant rate of 6.50% per year to indefinitely. The required rate of return of shareholders is twenty percent from 1 to 3 years. Then for the next 3 years' shareholders require fifteen percent and thereafter ten percent return. Assume you are working in Mohamed Ltd and managing director.

Calculate the current price value of the company.

Reference no: EM132675822

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