单选题 An analyst gathered the following information about a common stock:

Annual dividend per share	$2.10
Risk-free rate of return	7%
Risk premium for the stock	45

If the stock"s annual dividend is expected to remain at $2.10, the value of the stock is closest to :

A、 $19.09.
B、 $20.00.
C、 $32.40.

【正确答案】 A

【答案解析】If the dividend is expected to remain constant, the value of the stock is determined by dividing the amount of the dividend by the required rate of return for the stock; $2.10/0.11=$19.09.