MsManners Catering (MMC) Has Paid a Constant $1

Ms.Manners Catering (MMC) has paid a constant $1.50 per share dividend to its common stockholders for the past 25 years.MMC expects to continue this policy for the next two years, and then begin to increase the dividend at a constant rate equal to 2 percent per year into perpetuity.Investors require a 12 percent rate of return to purchase MMC's common stock.What is the market value of MMC's common stock?

A) $14.73
B) $15.00
C) $15.58
D) $15.30
E) $12.20