The Isberg Company just paid a dividend of $1.90 per share, and that dividend is expected to grow at a constant rate of 5.50% per year in the future. The company's beta is 1.60, the market risk premium is 5.00%, and the risk-free rate is 4.50%. What is the company's current stock price, P0? Do not round intermediate calculations.
a. $50.11
b. $47.50
c. $36.45
d. $28.64
e. $27.14
