An investor expects to purchase shares of common stock today and sell them after two years. The investor has estimated dividends for the next two years, D₁ and D₂, and the selling price of the stock two years from now, P₂. According to the dividend discount model, the intrinsic value of the stock today is the present value of:

A. Next year’s dividend, D₁.

B. Future expected dividends, D₁ and D₂.

C. Future expected dividends and price—D₁, D₂, and P₂.