Easton Corporation common stock has a par value of $25 and recently paid a dividend of $3.16 per share. The firm's dividends have grown from $2.00 to $3.16 over the past 10 years, which also reflects the expected growth in dividends for the indefinite future. The stock is selling for $40 and you think a reasonable required rate of return is 12%. What is the stock's intrinsic value?

a) $43.17 b) $27.58 c) $45.19 d) $39.50 e) $47.28