A company just paid a dividend of $2.00 per share (i.e. T=0). Analysts expect the company will be able to increase dividend payments by 10.0% per annum for each of the next three years and by 2.0% in perpetuity every year thereafter (or indefinitely). The appropriate cost of equity is 7.0%. Using the appropriate dividend discount model, one share of the stock is valued at:
A) $51.80
B) $50.67
C) $49.80
D) $47.77
E) $46.96