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The share of a certain stock paid a dividend of Rs.

The share of a certain stock paid a dividend of Rs.10.00 last year. The dividend is expected to grow at a constant rate of 15 percent in the future. The required rate of return on this stock is considered to be 18 percent. How much should this stock sell for now? Assuming that the expected growth rate and required rate of return remain the same, at what price should the stock sell 4 years hence?

A.

Rs. 395.68, Rs. 690.25

B.

Rs. 383.33, Rs. 670.45

C.

Rs. 407.54, Rs. 712.38

D.

Rs. 435.85, Rs. 744.64

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