Farmco just paid a dividend of $.20 per share. The dividends are expected to grow at 20 percent annually for the next 7 years and then level off to an annual growth rate of 3 percent indefinitely. What is the price of this stock today given a required return of 15 percent? Select one: A. $6.90 B. $3.98 C. $8.19 D. $7.54 E. $4.47Farmco just paid a dividend of $.20 per share. The dividends are expected to grow at 20 percent annually for the next 7 years and then level off to an annuFarmco just paid a dividend of $.20 per share. The dividends are expected to grow at 20 percent annually for the next 7 years and then level off to an annual growth rate of 3 percent indefinitely. What is the price of this stock today given a required return of 15 percent?

Select one:

A. $6.90

B. $3.98

C. $8.19

D. $7.54

E. $4.47al growth rate of 3 percent indefinitely. What is the price of this stock today given a required return of 15 percent?

Select one:

A. $6.90

B. $3.98

C. $8.19

D. $7.54

E. $4.47