Question $2$

a$.$ Nur Syurga has a saving of RM$10,000$ and is planning to make her first investment. Kim Loong her financial consultant offers her three investment options as below:

Option A : Samsung Bond with par value of RM$1,000,$ pays $4\%$ coupon payment semiannually, matures in $4$ years. The bond is selling at RM$1,115.$

Option B : Air Asia preferred stock paying a dividend of RM$3\mathrm{.}00$ and selling for RM$24\mathrm{.}25$

Option C : Unitar Capital dividend, with rate grow at $40\%$ this year, $25\%$ on the second year, $30\%$ on the third year and $10\%$ thereafter. The current dividend $(D_0)$ is RMO$\mathrm{.}80$ and the srock is selling at RM$40\mathrm{.}00$

The required rate of return for the above investments is as follows:

$\backslash$table$[[,\backslash$table$[[$required rate of$],[$return$]]],[$Bond$,3\%$