If Investors Require a 10% After-Tax Return from a Firm's

If investors require a 10% after-tax return from a firm's preferred stock and its dividend is $5.00 per share,what is the price per share assuming a marginal tax rate of 25% and no flotation costs?

A) $50.00
B) $12.50
C) $37.50
D) $18.75
E) $20.00