Equity valuation

AFM

Sir, in this question we calculated Ke with ex-dividend price. So, Intrinsic value of gordon model represents ex-dividend price i.e no right to next immediate dividend?

Durai Murugan

CA Final

★ 470

28-Jul-24 00:16

328

Answers (1)

Next dividend is of course part of working Pls compute on your own both ways to work PV of Next year dividend d1 plus value to infinity from d2 Also compute d1 to infinity. Answer will be same

Sriram Somayajula

Admin

28-Jul-24 09:09