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Assume that net income is the economic benefit in the valuation model. What is the present value of net income equal to $15,490,000 to be

Assume that net income is the economic benefit in the valuation model. What is the present value of net income equal to $15,490,000 to be earned in 5 years? Assume the cost of equity is 12%, the cost of debt is 4% and WACC is 10%. Show the calculation.
Answers: a.

$12,731,650.88
b.

$10,379,721.39
c.

$8,789,442.00
d.

$9,618,071.29

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