Genoa Pasta manufactures Italian food products and currently earns

$80 million in earnings before interest and taxes. You expect the firm's earnings to grow 20 percent a year for the next six years and 5%

thereafter. The firm's current after-tax return on capital is 28%, but you expect it to be halved after the sixth year. If the cost of capital for the firm is expected to be 10% in perpetuity, estimate the terminal value for the firm. (The tax rate for the firm is 40%.)