The dividend on a company's stock will be $3.25 in one year, $4.25 in two years and $5.25 in three years. In three years, you can sell the stock for $42.50.If you require a 9.75% rate of return on your investment, how much are you willing to pay for a share of this stock?

Question 23 options:

a)$20.64

b)$21.20

c)$21.75

d)$22.31

e)$22.87