(a) Mike wants to donate $1,000,000 to establish a fund to provide an annual scholarship in perpetuity. The fund will earn an interest rate of 4.45% p.a. effective and the first scholarship will be first awarded 3 years after the date of the donation. What is the maximum annual scholarship the fund can pay? Round your results to two decimal places.

(b) Firm ABC is expected to pay a dividend of $2 per share next year. After that the dividend is expected to increase at 10% for 2 years. From year three onwards dividends are expected to grow by 3% indefinitely. Calculate the share price for ABC if the discount rate is 4%. Round your results to two decimal places.

(c) Two year ago, firm MQ issued a 4-year bond with a par value of $1,000 and a coupon rate of 5%. Coupon payments are made semi-annually. If the nominal interest rate is 5.5% per annum, calculate the current market price of the bond (after the coupon payment being made today). Round your results to two decimal places.