Hudson Corporation will pay a dividend of $5.30 per share next year. The company pledges to increase its dividend by 2.70 percent per year indefinitely.

If you require a return of 12.40 percent on your investment, how much will you pay for the company's stock today?

Multiple Choice

• $53.20

• $56.82

• $54.64

• $52.45

• $34.18