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A company issued shares of Rs. 100 each on which Rs. 80 has been paid-up and the company declares a dividend of 25%. The amount of dividend per share comes to Rs. 20. On the basis of normal rate of return of 10%, the market value of share will be

A company issued shares of Rs. 100 each on which Rs. 80 has been paid-up and the company declares a dividend of 25%. The amount of dividend per share comes to Rs. 20. On the basis of normal rate of return of 10%, the market value of share will be Correct Answer Rs. 200/200

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The value of equity share will be:
Following information is available:
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2. 10,000 Equity shares of Rs. 100 each Rs. 60 per share paid up Rs. 6,00,000
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6. Normal rate of earnings 15%
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