Find price of share and value of firm if dividend is declare

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Question: A textile company belongs to a risk class for which the cost of equity is 10%. It currently has Rs.50,000 outstanding shares selling at Rs.100 each. The firm will declare dividend of Rs.8 at the end of year, using MM Approach, find the price of share and value of firm if dividend is declared?

Reference no: EM131478611

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