A company is expecting a period of intense growth and has decided to retain more of their earnings to help finance that growth. As a result, the company is going to reduce the annual dividend by 12.50% a year for the next three years. After those three years, the company will maintain a constant dividend of $0.60 a share. Recently, the company paid $1.40 as the annual dividend per share. What is the market value of this stock if the required rate of return is 9.50%?

Question 4 options:

	$7.54
	$7.73
	$7.91
	$8.10
	$8.29