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Jungle Juice Ltd (JJL) is a young company that currently does not pay a dividend as the company retains all its earnings to finance its

Jungle Juice Ltd (JJL) is a young company that currently does not pay a dividend as the company retains all its earnings to finance its growth. Market analysts expect that at the end of year 5 the company will start paying a $1.50 dividend. They also expect this dividend to grow by 5% p.a. over the foreseeable future after that. The required return on the shares is 15%. Based on this information, JJLs share price today should be closest to:

A. $7.83

B. $8.58

C. $15.00

D. $15.75

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