Zulkifli Mustafa Motor has just paid a cash dividend of RM1.87 (D0) per share. Investors require a \12 return from investments. The dividend is expected to grow at a constant rate of \7 per year. The company had issued a bond before. The bond has 10 years remaining to maturity. Interest is paid annually, the bonds have a RM1,000 par value, and the coupon interest rate is \8. From the above information you are required to answer the below questions. a. Calculate the current value of the stock? (2 Marks) b. Calculate the value of the stock If the company expects to experience a super growth rate in its earnings, in which the dividend is expected to grow at \20 this year, \30 next year, \40 the following year and grow at \10 thereafter. The required rate of return is \12. (7 Marks) c. Calculate the current market price of the bond when the required rate of return is \8 (2 Marks) d. Explain the effects of increasing market interest rates on the demand for a newly issued bond. (1.5 Marks) (Total: 12.5 Marks)