Synovec Co. is growing quickly. Dividends are expected to grow at a rate of 18 percent for the next 3 years, with the growth rate falling off to a constant 5 percent thereafter.

If the required return is 9 percent and the company just paid a $1.20 dividend. what is the current share price?

Multiple Choice

• $43.31

• $42.67

• $45.08

• $40.89

• $44.19