JRN Enterprises just announced that it plans to cut its dividend from $3.00 to $1.40 per share and use the extra funds to expand its operations. Prior to this announcement, JR 's dividends were expected to grow at 3% per year and RNS stock was trading at $25 per share th h new expansion. JR idends 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