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Question 1: Find out the current price of the stock in the following case:
- (a). Mr Asad buys a share of stock today, with a plan to sell it in a year. its worth will be Rs. 90 at that time. along with a dividend payment of Rs. 10 per share. Required Rate of return on investment is 25%.
- (b). SNT corporation has policy of paying @Rs 15 per share dividend per year. This policy is to continue definitely with a required rate of return of 20%.
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