Question: Hi, please help me solve the problem with solution and working. Thanks. Distinguish the differences between stock splits and stock dividends. (8 marks) (b) Recent

 Hi, please help me solve the problem with solution and working.

Hi, please help me solve the problem with solution and working. Thanks.

Distinguish the differences between stock splits and stock dividends. (8 marks) (b) Recent dividend distributed RM1. Suppose a firm is expected to increase dividends by 20% in one year and by 15% in two years. After that, dividends will increase at a rate of 5% per year indefinitely. If the required return is 20%, calculate the stock. (8 marks) (c) Capital Bhd. just paid a dividend of RM2.00 per share on its stock. The dividends are expected to grow at a constant 6 percent per year indefinitely. If investors require a 13 percent return on Capital stock, calculate; (i) The current stock price (3 marks) (ii) The stock price in 3 years (3 marks) (iii) The stock price in 15 years

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