How much would an investor pay for a gold mine stock that is projecting to pay the following dividends at the end of each of the following years: Year 1 $12.00 per share Year 2 $10.00 per share Year 3 $ 8.00 per share Year 4 $ 6.000 per share At the end of year 4 there will be no gold left to mine. Assume investors require a return of 20% to invest in this gold mine?

Question 19 options:

$24.46

$15.98

$36.00

None of these answers

$28.90