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7. Sun Inc. is expected to pay a dividend of $4.00 per share out of earnings of $7.50 per share next year. If the required

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7. Sun Inc. is expected to pay a dividend of $4.00 per share out of earnings of $7.50 per share next year. If the required rate of return on the stock is 10% and dividends are growing at a current rate of 7% per year, calculate the present value of the growth opportunity for the stock (PVGO). A) $25.00 B) $41.67 C) $58.33 D) $75.00 9 AWP

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