Unetal is expected to pay $15 in dividends next year and the company expected to increase its dividend distribution by 6% annually starting next year. The risk free rate is 3% and the risk premium required on shares with a similar risk is 17%. The EPS is $50 and the company also announced that it would pay $30 in dividends for preferred stock. What is the value of each share of common stock?

a.

None of the above

b.

$150.0

c.

$107.1

d.

$88.2

e.

$93.8