Assume That Bolton Company Will Pay a $2

Assume that Bolton Company will pay a $2.00 dividend per share next year,an increase from the current dividend of $1.50 per share that was just paid.After that,the dividend is expected to increase at a constant rate of 5%.If you require a 12% return on the stock,the value of the stock is ________.

A) $28.57
B) $28.79
C) $30.00
D) $31.78
E) none of the above