GHI Ltd has current earnings of $1 per share and a last dividend paid $0.50. It is expected that dividend will grow at the rate of 6 percent p.a. for the next three years and then level off (i.e. revert to zero growth) on year four onwards till infinity. a. Determine the expected share price of GHI Ltd using the dividend growth model. Assume that a cost of equity of 10 percent is applicable. (8 marks) b. Without showing any calculations, determine changes of price of the share if the required rate of return decreases. (2 marks)