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a. Paying low dividends is always preferable than paying high dividends by firms. From the perspective of either firms or shareholders, do you agree with

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a. "Paying low dividends is always preferable than paying high dividends by firms." From the perspective of either firms or shareholders, do you agree with the statement above? In your own words, interpret your answers by supporting with reasons (not more than 300 words). The marks of your answers will be awarded based on: - Relevance of answers and logical developed discussion of the proposed answers. - Originality and creativity of analysis behind every discussion provided. Overall presentation including word limit, clarity of writings and grammars. b. i. Firm ABC is acquiring DEF Store for $27,400 in cash. Firm ABC has 1,500 shares of stock outstanding at a market value of $44 a share. DEF Store has 2,100 shares of stock outstanding at a market price of $12 a share. Neither firm has any debt. Given the value of two combined firms would be at $95,500, what is the net present value (NPV) of the merger? [Note: Please provide your answers in two decimal places] ii. The One Store is being acquired by Power Incorporated for $62,000 worth of Power Incorporated stock. The synergy of the acquisition is $4,300. The One Store has 2,700 shares of stock outstanding at a price of $22 a share. Power Incorporated has 10,400 shares of stock outstanding at a price of $31 a share. What is the post-merger value per share? [Note: Please provide your answers in two decimal places] iii. Mani Exchange is being acquired by National Sales. The combination of two companies is estimated to reduce the annual marketing and administration costs by $10,000 forever, the opportunity cost of capital is 8%. Mani Exchange has 1,200 shares of stock outstanding at a price of $26 a share. National Sales has 5,500 shares of stock outstanding at a price of $45 a share. If National Sales offer Mani Exchange a 35% in National Sales, what is the net present value (NPV) of the merger? [Note: Please provide your answers in two decimal places

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