(i) Explanation of Mlima Co’s cost of capital based on Ziwa Co’s ungeared cost of equity 3
Ziwa Co, cost of ungeared equity 4 
Max marks 7

(iv) Comments on the range of values/prices with and without the project, and concluding statement 4–5
Discussion of assumptions 3–4
Explanation for additional reasons for listing 2–3
Assessment of reasons for discounted share price 2–3 
Max marks 12

Professional marks
Report format 1
Structure and presentation of the report 3 
Max marks 4