Darby Heating and Air just paid an annual dividend of $8.85 per share. Future dividends are expected to increase by 2.0 percent annually. What is one share of this stock worth at a required rate of return of 11.5 percent?

A.

$60.42

B.

$93.16

C.

$84.18

D.

$95.02

E.

$76.96