Alpha PLC just paid a cash dividend of Rs.2/- per share.Investors require a 16%creturn from an investment such as this. The dividend expect to grow steady rate of 8 % per year. What is the current...

Alpha PLC just paid a cash dividend of Rs.2/- per share.Investors require a 16%creturn from an investment such as this. The dividend expect to grow steady rate of 8 % per year.

What is the current value of the share, would you buy this share if it is selling at Rs. 26.50 justify your answer.