You expect Coles has earnings per share of $6 this year and expect that they will pay out 50% of these earnings to shareholders in the form of a dividend today

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You expect Coles has earnings per share of $6 this year and expect that they will pay out 50% of these earnings to shareholders in the form of a dividend today. Coles's return on new investments is 15% and growth rate is 7%. The value of a share of Coles is closest to:

Select one:

a. $20.06

b. $75

c. $40.12

d. $37.5