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You and your partner from college started a new business venture that consists of a health and athletic club to promote a healthier life style.

You and your partner from college started a new business venture that consists of a health and athletic club to promote a healthier life style. Your accountant estimates that the firm generated $650,000 in cash flows during the previous year and will continue to do so over the next 15 years. The appropriate discount rate to value firms in this sector is 11%. Based on this information, what is the value of the business?

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