Return Maximizer Ltd pursues a stable dividend payout ratio policy. You forecast that its net income will grow at the rate of 10% per annum next year before entering a stable terminal growth stage at the industry average growth rate of 2% per annum. You estimate the required rate of return of the company's stocks to be 12% per annum. It is now the end of the fiscal year 2020. The companys most recent dividend per share is $5.00. Rounded to two decimal places, what is your estimated intrinsic value per share of Return Maximizer using the Dividend Discount Model?

a.

$55.00

b.

$5.50

c.

$4.91

d.

None of the options provided.

e.

$56.10