A Preferred Stock Will Pay a Dividend of $1

A preferred stock will pay a dividend of $1.25 in the upcoming year,and every year thereafter,i.e.,dividends are not expected to grow.You require a return of 12% on this stock.Use the constant growth DDM to calculate the intrinsic value of this preferred stock.

A) $11.56
B) $9.65
C) $11.82
D) $10.42
E) none of the above