Previous Page Next Page Page 12 of 30 Question 12 (3.3 points) There is a small company that currently does not pay dividends. However, 4 years from now the company is expected to pay an annual dividend of $2.00 (Hint: D4=$2.00). The dividend will then grow by 5% annually forever. Suppose the market requires an annual return of 8% on the company's stocks, what should be the stock price today? OA) $49.00 B) $51.45 OC) $50.47 OD) $52.92 Previous Page Next Page Page 12 of 30