Kamalia asks you which bond she should invest in; Bond A with a RM 1,000 face value, market value RM 820, required rate of return of 13% and a 10% annual coupon rate matures in 15 years or Bond B, a zero coupon bond with similar risk and is selling for RM 180. The yield to maturity on the zero coupon bond is 14%. Required: i. Calculate the intrinsic value of Bond A and B. (4 Marks) ii. Which bond do you recommend, and why? (2 Marks) b) Cerdik Bijak Industries paid a dividend of RM 1.65 on its common stock yesterday. The dividends of Cerdik Bijak Industries are expected to grow at 9% per year indefinitely. If the risk free rate is 3% and investors' risk premium on this stock is 8%, estimate the value of Cerdik Bijak Industries stocks 2 years from now. (4 Marks)