JRN Enterprises just announced that it plans to cut its next year's dividend from $3.00 to $2.50 per share and use the extra funds to expand its operations. Prior to this announcement, JRN's dividends were expected to grow indefinitely at 4% per year and JRN's stock was trading at $27.60 per share. With the new expansion, JRN's dividends are expected to grow at 6% per year indefinitely. Assuming that JRN's risk is unchanged by the expansion, the value of a share of JRN after the announcement is closest to

$18.9

$31.6

$28.2

$25.4

$15.6

$37.6