Daruma $($Pty$)$ Ltd has been offered to buy an existing manufacturing plant from a neighbouring company. It is estimated that the existing plant wil generate a net cash flow of R$4$ million per year for the next the next ten years. It is estimated that after $10$ years, the plant wil be sold for R$15$ million.

What is the maximum amount that Daruma $($Pty$)$ Ltd should be willing to pay for this

investment if its relative low risk justifies an annual required rate of return of only

$10\%?$

a$)$ R$55000000\mathrm{.}00$

b$)$ R$30361417\mathrm{.}76$ c$)$ R$24578268\mathrm{.}42$

d$)$ R$39578268\mathrm{.}42$