You expect Vixen Co. will experience a dividend growth rate of 30% for the next three years. After three years, you expect the growth rate to fall to 6% and remain at this level forever. The most recent dividend paid was $2.69 and the required return on the stock is 14%. What is the intrinsic value of Vixen stock?

a.

$53.68

b. $63.48

C.

$70.72

d

$87.33

c. $91.14