XYZ Ice Cream Parlor Limited John Doe could not believe when his partner Samuel Jones told him their business was worth $$10$ million. He asked, how could a business with sales of less than $$1\mathrm{.}6$ million be worth $$10$ million. said he simply got a financial formula from a textbook to obtain his valuation. These two have owned an ice cream parlor for $10$ years and the parlor has been extremely successful. However, recently, Jones has spent significantly less time in the business and has begun to show that he is disinterested. Doe asked him about it and Jones noted that he would not mind exiting the business and going his separate way. Doe likes the idea of being the sole proprietor as he would reap all the profits of the business. Thus he asked what the business was worth and Jones told him $$10$ million. However, would not divulge the means of calculating the valuation. Doe insisted on the formula but eventually contacted his accountant $($Sam Klein$)$ to get a second opinion on the valuation of the business. During this meeting, the accountant hinted that he believed that Jones was using the dividend discount model to calculate the value.