Soalan 1 / Question 1 (20 marks) The current dividend (D₀) for Anggerik Sdn Bhd is RM1.00 and is expected to grow at the higher rate(g_s) of 12 percent a year for five (5) years, at the end of which time the new growth rate (g_c) is expected to be a constant 6 percent a year. The required rate of return is 10 percent.

a) Calculate the dividends (in RM) in each year of supernormal growth at the 12% for the 5 years. (5 markah / marks)

b)

Calculate the discounted present value of dividend at required rate of return of 10%.

(5 markah/ marks)

C) Calculate the expected price of the stock at the end of Year 5. (5 markah/ marks)

D) Calculate the price of the value of the stock today P₀ of this multiple-growth rate of stock.

PLEASE ANSWER THIS AS SOON AS POSSIBLE. THANK YOU