Swiss Cheeses, Inc

Swiss Cheeses, Inc. has paid annual dividends of $1.00, $1.04, $1.09, and $1.15 per share over the last four years, respectively. The stock is currently selling for $42 a share. What is this firm's cost of equity?

A) 7.45 %
B) 7.64 %
C) 7.83 %
D) 7.87 %
E) 8.02 %