A) Hurmuz Company Limited runs a large readymade garment system in the textile industry. It hopes to sell its common stock at OMR 65 at the end of third year. The dividend per share would be OMR 2 for the next three years. The required rate of return is 12 per cent. What is the present price of this share? Do you think it is a good investment for the investor who is interested to such stock? (4 Marks) B) Mr. Ali has invested in Jazeerah Steel Company and eamed the following retuns for the past five years: 10%, 12%, 7%, -5% and -3% respectively. Help him to evaluate the arithmetic and geometric average returns then the carried risk during this period of investment. Critically analyze the outcome of Mr Ali investment (6 Marks) A) Hurmuz Company Limited runs a large readymade garment system in the textile industry. It hopes to sell its common stock at OMR 65 at the end of third year. The dividend per share would be OMR 2 for the next three years. The required rate of return is 12 per cent. What is the present price of this share? Do you think it is a good investment for the investor who is interested to such stock? (4 Marks) B) Mr. Ali has invested in Jazeerah Steel Company and eamed the following retuns for the past five years: 10%, 12%, 7%, -5% and -3% respectively. Help him to evaluate the arithmetic and geometric average returns then the carried risk during this period of investment. Critically analyze the outcome of Mr Ali investment (6 Marks)