You are trying to value the stock of Cowbell Inc using a dividend discount model. You know that the firm only uses dividends to return cash to its investors and you have forecasted the dividends for the next 4 years (see table below). You believe that dividends will grow at a constant rate of 4% each year after year 4. The cost of equity is 12%. Given this information, what is the best estimate for the share price for Cowbell Inc.? Select one.

	I.	$134.12
	II.	$222.45
	III.	$51.50
	IV.	$156.25
	V.	$147.65

Dividend Forecasts Year 1 2 Dividend per Share (in $) 12.50 12.80 3 4 13.05 13.15