The price of a stock is $40 per share and there is an expected rate of return on shares of this kind of 17%. Dividends have been growing at a constant rate of 2%.

What must be the value of D0 and D1?

a. 5.67 and 6.23

b. 4.58 and 5.89

c. 5.50 and 6.25

d. 5.88 and 6.00