Question 2. (10+5+5) a) ABC Corporation has improved its product quality. As a result firm projects 10% growths in dividend for next 4 years. Later on sustainable growth fall to 5%. The most recent annual dividend is 0.1% of your registration number. The required rate of return on stock is 20%. i. What is the stock price today? ii. What is price of the stock one year from now? iii. If the RRR on stock is 20% is equal to the dividend yield plus capital gain or not? iv. Whether the stock is fairly priced or not? What is the price of the stock 4 years from now? V. Question 2. (10+5+5) a) ABC Corporation has improved its product quality. As a result firm projects 10% growths in dividend for next 4 years. Later on sustainable growth fall to 5%. The most recent annual dividend is 0.1% of your registration number. The required rate of return on stock is 20%. i. What is the stock price today? ii. What is price of the stock one year from now? iii. If the RRR on stock is 20% is equal to the dividend yield plus capital gain or not? iv. Whether the stock is fairly priced or not? What is the price of the stock 4 years from now? V