Good Investments Company forecasts a $1.74 dividend for 2017, $1.87 dividend for 2018 and a $1.98 dividend for 2019 for Mountain Vacations Corporation. For all years after 2019, Good Investments Company forecasts that Mountain Vacations will pay a $2.10 dividend. Using the dividend discount valuation model determine the intrinsic value of Mountain Vacations Corporation, assuming the companys cost of equity capital is 7%.

Select one:

a. $29.37

b. $24.47

c. $19.63

d. $27.77