You are projecting the financial performance of a company that you are seeking to potentially acquire. You have estimated the annual cash flows for years $1-5,$ and now you need to estimate the terminal value for all cash flows after year $5.$

What is the discounted terminal value of this business based on the following information:

$1)$ Year $5$ cash flow $=$ $$1,000$

$2)$ Long$-$term cash flow growth rate $=5\%$

$3)$ Discount rate $=12\%$

Group of answer choices

$$8,511$

$$15,000$

$$14,286$

$$8,106$

$$7,599$A