Question $12(1$ point$)$

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Vansel Inc. retains most of its earnings. The company currently has earnings per share of $$12.$ Vansel expects its earnings to grow at a constant rate of $2$ percent per year, Furthermore, the average PE ratio of all other firms in Vansel's industry is $10.$ Vansel is expected to pay dividends per share of $$3\mathrm{.}00$ during each of the next three years. If investors require a $10$ percent rate of return on Vansel stock, a fair price for Vansel stock today is $

$130\mathrm{.}72$

$103\mathrm{.}13$

$95\mathrm{.}67$

$113\mathrm{.}95$