Lucas Hotels Incorporated currently pays a $4.00 common stock dividend. Dividends have been recently growing at a 6 percent annual rate. What is the current value of Lucas Hotels' common stock to an investor requiring a 15 percent rate of return and expecting the following growth rate? a. 3% b. 6% c. 9%

A.

a. 30 b. 60 c. 90

B. a. 72.67 b. 47.11 c. 34.33
C. a. 34.33 b. 47.11 c. 72.67
D. None of the above