KL Airlines Paid an Annual Dividend of $1

Multiple Choice

KL Airlines paid an annual dividend of $1.18 a share last month.The company is planning on paying $1.50,$1.75,and $1.80 a share over the next 3 years,respectively.After that,the dividend will be constant at $1.50 per share per year.What is the market price of this stock if the market rate of return is 10.5 percent?

A) $13.98
B) $14.07
C) $14.71
D) $17.16
E) $18.10