Use the Combined Dividends and Earning Model and the information below to value this company. If it's selling at $25.10, is it over or under valued? Remember to use a market rate of 0.078 and a riskfreerate of 0.016 in your return calculation. Also, remember that intrinsic value and present value are used interchangeably, as are expected return and required return.

	2018	2017	2016	2015
Earnings per share	$1.95
Dividend payout ratio		0.36	0.37	0.35
Return on equity	.085
Beta	1.15
P/E		16.1	15.1	15.9

A)The intrinsic value is between $24 and $27, and the stock is under valued.

B)The intrinsic value is between $29 and $32, and the stock is over valued.

C)The intrinsic value is between $24 and $27, and the stock is over valued.

D)The intrinsic value is between $29 and $32, and the stock is under valued.