Corporate Financial MGMT

The Bell Weather Co. is a new firm in a rapidly growing industry. The company is planning on increasing its annual dividend by 19 percent a year for the next 4 years and then decreasing the growth rate to 3 percent per year. The company just paid its annual dividend in the amount of $3.30 per share. What is the current value of one share of this stock if the required rate of return is 8.80 percent?

A. $120.82

B. $83.87

C. $100.47

D. $117.52

E. $103.77

Thank you!