Metallica Bearings, Inc., is a young start-up company. No dividends will be paid on the stock over the next 9 years because the firm needs to plow back its earnings to fuel growth. The company will pay a dividend of $8 per share 10 years from today and will increase the dividend by 7 percent per year thereafter. If the required return on this stock is 13 percent, what is the current share price?

Multiple Choice $44.38 $46.60 $45.72 $39.28 $42.17