Equity market

a.Company ABC Tbk has just paid its annual dividend of Rp5400 per share. Analysts believe that Company ABC Tbk will maintain its historic dividend growth rate of 4.4%. If the required return is 7.65%, what is the expected price of the stock next year?

b.Suppose Company DEF Tbk Inc is trading at Rp1650 per share. It pays an annual dividend of Rp 345 per share and analyst have set a one-year target price around Rp 2150 per share. What is the expected return of this stock?

Forex market

a. An Indonesia investor purchased 120 of Apple stock on January 1, 2023 at $126 per share. Apple paid an annual dividend of $1.50 per share on December 31,2023. The Investor sold the stock on the same day for $185 per share. The exchange rate was USD/IDR 14,800 on January 1,2023 and USD/IDR 14,600 on December 31,2023. What is the investors total return in IDR?

b..The six-month forward rate between British pound and USD is $1.85 per pound. If six-month interest rates are 4.25% in US and 225 basis points higher in England, what is the current exchange rate?