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Burger Inc., has just paid $2 of dividend (D0). The firm will experience supernormal growth of 30% in the next 3 years and then return

Burger Inc., has just paid $2 of dividend (D0). The firm will experience supernormal growth of 30% in the next 3 years and then return to its constant growth rate of 6%. If the required return on common stock is 16%, what should the price of the stock be?

a)37.41

b)31.25

c)29.31

d)34.80

e)26.45

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