Question Two a. Suppose the market interest rate is 10 per cent in Zambia. What is the value of a coupon bond that pays K80 per year for each of the next five years and then makes a principal repayment of K1000 in the sixth year? b. The Zambian government has since January 2022 embarked on a massive pensions program in an attempt to reduce the level of pension arrears. Mr Kalampa received his full terminal benefits is considering investing in the equity market by buying 2400 shares at the Lusaka Stock Exchange (LUSE) with an economic market return of 10.25 per cent in 2021. Final Dividend per share for the financial year ended 31st December 202 | was approved by the Shareholders of CEC Zambia, Zambeef and ZAFFICO in accordance with the requirements of the Securities Act No. 41 of 2016 of the Laws of Zambia and the Listings Rules of the Lusaka Securities Exchange in which notice was given that the Final Dividend which was payable to shareholders registered in the Company's books at the close of business on Friday 29th April, 2022 being the record date. The Dividend Per Share in 2020. CEC Zambia, Zambeef and ZAFFICO issued 412,234 shares, 345,101 shares and 409678 shares respectively. Company Dividend Per Share (ZMK ) for 2021 Share Price in 2020 Dividend Per Share (ZMK) for 2020 CEC Zambia D.48 2.05 Zambeet 0.252 1:51 ZAFFICO 0.365 1.95 0.265 1. Explain the role that LUSE plays in the Money Markets in Zambia ii. Calculate the 2021 share prices for CEC Zambia, Zambeef and ZAFFICO. iii. Calculate the expected economic earning per share in the 2021 financial year that Mr Kalampa would anticipate. iv Determine the economic incomes for CEC Zambia, Zambeef and ZAFFICO. Mr Kalampa further seeks to determine the future profitability of the shares for CEC Zambia, Zambeef and ZAFFICO in order to make his final decision of the company to invest in. Use the Price Earnings Ratio and advise Mr Kalampa the company to invest in