Stanley Corp. paid a dividend of $3.00 in the year that just ended. Analysts expect that dividends will grow by 30% this year, 20% in the second year, and by 10% in the third year. After the third year they plan to maintain a constant retention rate of 50%. Analysts forecast that the return on new equity investment for Stanley Corp. after its third year would be 10%. The required rate of return on Stanley Corps stock is 9%.

Note: Do not round intermediate calculations.

What is the intrinsic value of the stock?

Group of answer choices

$119.93

$76.05

$109.03

$115.84