A company has just paid its first dividend of $2.99. Next year's dividend is forecast to grow by 8 percent, followed by another 8 per cent growth in year two. From year three onwards dividends are expected to grow by 2.2 percent per annum, indefinitely. Investors require a rate of return of 19 percent p.a. for investments of this type. The current price of the share is (round to nearest cent)

Select one:

a.$20.16

b.$17.70

c.$6.31

d.$6.84