2. Last year, Sunshine State LLC earned free cash flow of $360,000 and paid out dividends of $0.80 per share. The firm expects to grow free cash flow at a by 7% per year for 3 years and then by a constant rate of 5% per year. Dividends will grow by a constant 4% annual rate. The firm has $6.5 million in debt and $0.8 million in preferred stock. There are 150,000 common equity shares outstanding. The cost of equity is 18%; the weighted average cost of capital is 10%; and the return on equity is 26%. What is the estimated stock value using the corporate valuation method