Assume a stock paid a dividend of $1 per share over the last year, the required rate of return on the stock is 5%, and the dividends are expected to grow at a constant rate of 11% into the future....

Assume a stock paid a dividend of $1 per share over the last year, the required rate of return on the stock is 5%, and the dividends are expected to grow at a constant rate of 11% into the future. What is the intrisic value of this stock?

A. $16.67

B. $17.50