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A firm's common stock has just paid a $4.00 dividend (D0), which is expected to grow at a constant rate of 6.0 percent each year.

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A firm's common stock has just paid a $4.00 dividend (D0), which is expected to grow at a constant rate of 6.0 percent each year. The beta of this stock is 1.30 , the risk-free rate is 4.0 percent, and the expected return on the market is 10.0 percent. Determine how much you should be willing to pay (the intrinsic value) for this stock today. \begin{tabular}{r} $36.55 \\ \hline$63.97 \\ \hline$45.69 \\ \hline$54.83 \\ $73.10 \end{tabular}

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