Use the information to answer the following question.

Thames Inc.'s most recent dividend was $2.40 per share. The dividend is expected to grow at 3% per year.

The T-bill rate is 5% and the market return rate is 9%.

The company's beta is 1.3. What is the expected price of the stock two years later?

Select one:

a. $72.14

b. $35.36

c. $37.83

d. $36.42

e. $57.14