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NEW QUESTION: 1
Which G/L account types are relevant for CO? There are 2 correct answers to this question.
A. Primary costs or revenue
B. Non-operating expense or income
C. Secondary costs
D. Bank and Cash Accounts
Answer: A,C
NEW QUESTION: 2
Section C (4 Mark)
Maxis Ltd reported Earnings Per Share of Rs 2.10 in 1993, on which it paid dividends per share of Rs 0.69.
Earnings are expected to grow 15% a year from 1994 to 1998, during which period the dividend payout ratio is expected to remain unchanged. After 1998, the earnings growth rate is expected to drop to a stable 6%, and the payout ratio is expected to increase to 65% of earnings. The firm has a beta of 1.40 currently, and it is expected to have a beta of 1.10 after 1998. The Risk Free Rate of Return is 6.25%.
What is the value of the stock, using the two-stage dividend discount model?
A. 35.15
B. 26.5
C. 27.59
D. 26.75
Answer: C
NEW QUESTION: 3
A. Option E
B. Option B
C. Option D
D. Option C
E. Option A
Answer: A
Explanation:
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