Question: Please answer question 2 and 3 in full 2.1 Write short notes with examples on the following (10 marks) a) Risk aversion b) Capital Rationing

Please answer question 2 and 3 in full
2.1 Write short notes with examples on the following (10 marks) a) Risk aversion b) Capital Rationing 2.2 Telkom is expected to grow at an annual rate of 3% for the foreseeable future. The current profits of Telekom are R 1000000 and have not been paid as dividends. What is the value of Telkom assuming the market interest is at 6% ? (10 marks) Question Three (18 marks) 3.1 Discuss the meaning of pricing policy in economics? Identify a company of your choice and explain its pricing policy. What are the internal and external factors that affect its pricing policy? (10 marks) 3.2 Identify and explain the instruments of fiscal policy? Briefly comment on South Africa's fiscal policy. (8 marks)
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