Feltwater Furniture Has 134,000 Shares of Stock Outstanding

Feltwater Furniture has 134,000 shares of stock outstanding.The firm expects to earn net income of $286,000 next year with annual increases of 4 percent per year thereafter.The firm pays out 70 percent of its net income in dividends.The required return is 16 percent.What is the share price?

A) $14.16
B) $12.45
C) $13.08
D) $12.95
E) $14.63