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Your company has the following expected dividends over the next 6 years: $2.00,$2.40,$3.20, $3.60, $4.20, and $4.41. Note that starting in Year 5 , dividends

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Your company has the following expected dividends over the next 6 years: $2.00,$2.40,$3.20, $3.60, $4.20, and $4.41. Note that starting in Year 5 , dividends will begin to grow at a constant, long-run sustainable growth rate of 5 percent (D6=$4.201.05=$4.41, etc.). Further, the risk-free rate is 4.0 percent, the Risk Premium on the Market is 6.0 percent, and the company has a beta of 1.50 . Calculate the current price of this stock at Year 0. $43.75 $40.27 $52.72 $37.29 $47.84

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