The value of a stock to an investor today is the present value of all expected future cash flows. When owning a stock, the cash flow can come from two major sources. Discuss the two sources and any considerations that should be accounted for in terms of these future cash flows.

MARKING GUIDE

Question 1 would be marked based on the identification of the two sources of cash flow relevant to the value of the stock and any other consideration that should be taken into view. There is no word limit or requirement.