The Zumwalt Company is expected to pay a dividend of $2.25 per share at the end of the year, and that dividend is expected to grow at a constant rate of 5.00% per year in the future. The company's beta is 1.15, the market risk premium is 5.50%, and the risk-free rate is 4.00%.
What is the company's current stock price?
a. $42.25
b. $43.31
c. $44.39
d. $45.50
e. $46.64