OMG Corporation just paid a $2.90 annual dividend on each share. It is planning on increasing its dividend by 15 percent a year for the next 4 years. The corporation will then decrease the growth rate to a rate of 6 percent per year, and keep it that way indefinitely. The required rate of return is 8.40 percent. Calculate the current value of one share of this corporation's stock.

Multiple Choice

$226.92

$162.24

$178.62

$224.02

$175.72