The Merriweather Co. just announced that it will pay a dividend next year of $1.60 and is establishing a policy whereby the dividend will increase by 3.5% annually thereafter. How much will one share be worth five years from now if the required rate of return is 12%?
A) $21.60
B) $22.36
C) $23.14
D) $23.95
E) $24.79

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The Answer of The Merriweather Co. just announced that it will pay a dividend next year of $1.60 and is establishing a policy whereby the dividend will increase by 3.5% annually thereafter. How much will one share be worth five years from now if the required rate of return is 12%?
A) $21.60
B) $22.36
C) $23.14
D) $23.95
E) $24.79