1. Nemo Technologies was founded 10 years ago. It has been profitable for the last 5 years, but it has needed all of its earnings to support growth and thus has never paid a dividend. Management has indicated that it plans to pay dividend as below:

Year	Amount (RM)
1 - 3	0.25
4	0.40
5	0.55

Thereafter, earnings and dividends are expected to grow at a long-term constant growth rate of 8 percent. Assume a required rate of return of 11 percent. Calculate the current value of the shares. (8 marks)

2. YTL Berhad is experiencing a period of variable growth model. YTL Berhad paid a dividend of RM2.20 last year. Dividends per share are expected to grow at a rate of 15 percent for first year, 18 percent during the next two years and 6 percent thereafter. If the required rate of return on the share is 10 percent, calculate the current value of YTL Berhads share. (5 marks)