Mother and Daughter Enterprises is a relatively new firm that appears to be on the road

to great success. The company paid its first annual dividend yesterday in the amount of

$0.28 a share. The company plans to double each annual dividend payment for the next

three years. After that time, it is planning on paying a constant $1.50 per share

indefinitely. What is one share of this stock worth today if the market rate of return on

similar securities is 11.5%?