a) Nairobi partnership was formed in 1990 by two partners. The company has been growing tremendously over the years and has largely been financed through retention of profits. The partners would like to list the shares at the local exchange by selling shares to the members of the public through initial public offering. As student of finance, address the following issues in respect of the IPO.

(i) Briefly discuss three methods for determining the value of the business and hence the IPO price

(ii) Discuss three dividend policies available to the company as it transforms from being a private to a public entity