Question: if a system is expected to pay its first dividend next year of $4.00, and then pay $4.50 the following year, $5.00 the year after

if a system is expected to pay its first dividend next year of $4.00, and then pay $4.50 the following year, $5.00 the year after that, and then grow at a constant annual rate of 4%, what will a share of the system be worth today if the discount rate is 6%?

A) $132.54

B) $271.61

C) $346.98

D) $98.78

Please show the solution, and how to calculate the solution.

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