Cold Storage Company has $440,000 shares of cumulative preferred stock outstanding, which has a stated dividend of $7.75. It is six years in arrears in its dividend payments. The firm proposes to offer new common stock to the preferred stockholders to wipe out the deficit The common stock will pay the following dividends over the next four years are D1 is $1.15, D2 is $1.20, D3 is $130, and D4 is $1.45 The company anticipates earnings per share after four years will be $4.09 with a P/E ratio of 10. The discount rate used by the investment banker is 12 percent. What is the calculated present value of the common stock after four years? 1 Year 2 3 4 0.893 PV of $1 @12% 0.797 0.712 0.636 None of the above ob $17.95 $ 27.95 Od $ 22.95 1200M