QUESTION 1:10 Marks PART1 PART2 PARTS PART4 Total/10 CLOS CLO3 CLOS CLOB 2 Marks 4 Marks 2 Marks 2 Marks /10 PART 12 Marks EDF, Inc, outstanding common stock is currently selling in the market for $60. Dividends of $2.50 per share were paid last year, return on equity is 20%, and its retention rate is 25%. 1. Estimate the stock value, given a 15% required rate of return? PART 24 Marks (1 Mark each question) If XYZ Corporation's net income is $400 million, its common equity is $1665 million, the management decided to distribute only 25% from the firm's earning and the firm paid a $7.5 dividend last year. 1. Calculate the growth rate? 2. Compute the value of the common stock if the investors require 25%. FG. 20