The Common Stock of Energizer's Pays an Annual Dividend That

The common stock of Energizer's pays an annual dividend that is expected to increase by 10% annually. The stock commands a market rate of return of 12% and sells for $60.50 a share. What is the expected amount of the next dividend to be paid on Energizer's common stock?

A) $.90
B) $1.00
C) $1.10
D) $1.21
E) $1.33