Q Company's last dividend was $1.50. Its dividend growth rate is expected to be constant at 3% for 2 years, after which dividends are expected to grow at a rate of 4% forever. Its required return (r s) is 8%. What is the best estimate of the current stock price? Do not round intermediate calculations.

a. $36.90

b. $35.08

c. $39.77

d. $38.27

e. $40.99