Roogi Bhd was incorporated in 1999. The company has suffered revenue losses exceeding RM10 million over the last three years. However, its subsidiary, Kaya Bhd, has made substantial profi ts last year. Kaya Bhd has not distributed these profi ts as dividends to its own members.Cermat, the managing director of Roogi Bhd, seeks your advice on the following matters:(a) whether Roogi Bhd can pay a cash dividend to its members by utilising funds available in its share premium account; (3 marks)(b) whether Roogi Bhd can utilise the profi ts of its subsidiary, Kaya Bhd, to pay dividends to its (Roogi Bhd’s) members; (2 marks)(c) whether, in the event it makes revenue profi ts next year, it may utilise those profi ts to pay dividends for that year without offsetting the revenue losses for the previous years; (2 marks)(d) the legal position under the Companies Act 1965, if it is discovered that Roogi Bhd has paid a cash dividend out of capital. (3 marks)Required:Advise Cermat.Note: The mark allocation is shown against each part of the question. (10 marks)