Style Ltd ("Style") is a clothing retailer which sells men's and women's clothes and accessories. Style has outlets nationwide and is listed in the consumer goods sector on the main board of the Johannesburg Stock Exchange ("JSE"). After an evaluation of Style's external environment, Style's management determined that the entity's financial success and footprint in the market can be grown by opening various Style branches across the Mpumalanga province. This expansion initiative will however require funding of R10 407000 . Thereafter, it can be expected that the Mpumalanga branches will demonstrate growth of 7.2% annually in the first year. This will decrease to 5.9% annually for the next five years, whereafter, the growth can be expected to stabilise at 4.8% annually. To finance this project, 2 possible sources are considered - which will be used mutually exclusively. Cumulative, non-redeemable preference shares 11.95\% Cumulative, non-redeemable preference shares with a par value of R5 each, could be issued. Style will not be paying dividends on these preference shares during the first two years. Only in the third year will the dividend payments commence and continue. Preference shares' required rate of return is 11.44%. Ordinary shares The cost of equity is 12.43%. An annual dividend of 57 cents per ordinary share will be declared during the first four years. Thereafter, Style will declare an annual dividend which is in line with the Mpumalanga branches' growth rate at that point in time. REQUIRED: 2.1. Calculate the value of each preference share of Style Ltd. (12 marks) 2.2. Calculate the value of each ordinary share of Style Ltd. (21 marks)