- PLEASE* USE FORMULAS AND SHOW EXPLANATION. DON'T JUST SHOW EXCEL SPREADSHEET PLEASE!!! I NEED TO KNOW THE PROCESS! -

Suppose Ford Motor Company plans to pay a dividend of $1.25 in one year and $1.50 in two years. Afterward, the company will not pay any dividend for 8 years. At time 10, the company will pay a dividend of $3.75 per share and will increase the dividend by 11.00% every year thereafter. If Fords equity cost of capital is 13.00%, what is its current price?

(a) $189.78 (b) $64.70 (c) $72.96 (d) $57.52