14)

A companys dividend grows at a constant rate of 2 percent p.a.. Last week it paid a dividend of $6.35. If the required rate of return is 15 percent p.a., what is the price of the share 3 years from now? (round to nearest cent)

a.

$52.87

b.

$34.76

c.

$51.84

d.

$75.77