It is January 2023 and you are the CFO of MetrixSystems Corp. The firm only pays dividends. The firm is expecting earnings per share (EPS) of $10 at the end of this year. If the firm does not reinvest any of its earnings it will expect to achieve the same EPS of $10 each year in perpetuity. You are considering changing the dividend policy of the firm. Specifically, you want the firm to target a payout rate of 20% each year. The firm's return on new investment is 12.5% and its cost of equity capital ( rE ) is 12%. Calculate the share price under the proposed payout policy. Select the best one. $2,250 $100 $83.33 $93.75 $550