Monash Co. pays dividends annualy and has a current dividend of $7 per share. Dividends start growing at the third year. The third year dividend grows by 20% from the second and this growth lasts till the fifth year after which dividends stop growing. Dividends are still paid into perpetuity after the growth period. The company has a required rate of return of 12%, calculate the current implied price of the share.

a)

$99.28

b)

$88.28

c)

$100.28

d)

$77.28

e)

$66.28