A stock just paid dividends of $2.0 per share and dividends are expected to rise 15%, 12%, and 10% for the next 3 years. Starting in the 4th year, the dividend growth will stay at a constant growth rate of 5%. If the required rate of return on this stock is 12%, what is its intrinsic value?
a.$50.21
b. $48.63
c. $36.38
d. $33.14
e. $32.86