4. The Babet Computer Corporation has been experiencing an above normal dividend growth rate of 20% per year for the last 5 years. This above normal growth rate is expected to continue for another 3 years before it levels off at a more normal rate of 6%. Babets last dividend was $0.50 per share. Determine the current value of Babets stock if its required rate of return is 15%.

a. $8.33

b. $6.31

c. $9.60

d. $10.2