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Assume XYZ Corp.s dividend payment will be $2.55 one year from now, $3.52 two years...

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Finance

Assume XYZ Corp.s dividend payment will be $2.55 one year from now, $3.52 two years from now, and $3.93 three years from now. Further assume that after these three years, the dividend will grow by 5.5% each year. If the required rate of return for the industry XYZ Corp. belongs to is 10.9%, what is the market value of XYZ Corp.s stock under the Dividend Discount Model?

Group of answer choices

$62.71

$74.69

$78.29

$64.33

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