3) The managing director of a company decides that his company will not pay any dividends till he survives. His current life expectancy is 20 years. After that time it is expected that the company could pay dividends of ₹30 per share indefinitely. At present the firm could afford to pay ₹5 per share forever. The required rate of this company’s shareholders is 10 per cent. What is the current value of the share? What is the cost to each shareholder of the managing director’s policy?
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Increasing porosity and decreasing permeability lead to increased production in an aquifer.
Decreasing porosity and increasing permeability lead to increased production in an aquifer.
Decreasing porosity and decreasing permeability lead to increased production in an aquifer.
Increasing porosity and increasing permeability lead to increased production in an aquifer.
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