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please help me solve this question 2) You are running a hot internet company, Analyst predict that its earnings will gro w at 20% per
please help me solve this question
2) You are running a hot internet company, Analyst predict that its earnings will gro w at 20% per year for the next 3 years. After that, as competition increases, earning s growth is expected to slow to 10% per year and continue at that level forever. You r company has just announced earnings of $2 million. What is the present value of all future earnings if the interest rate is 15%?(Assume all cash flows occur at the e nd of the year)Step by Step Solution
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