You Are Considering the Purchase of Austal Limited

You are considering the purchase of Austal Limited.The firm just paid a dividend of $4.20 per share.The shares are selling for $115 per share.Security analysts agree with top management in projecting steady growth of 12% in dividends and earnings over the foreseeable future.Your required rate of return for shares of this type is 17.5%.If you were to purchase and hold the shares for three years,what would the expected dividends be worth today?

A) $12.60
B) $9.21
C) $17.12
D) $15.55
E) $11.46