You are running a hot Internet company. Analysts predict that its earnings will grow at 30 %

30% per year for the next five years. Afterthat, as competitionincreases, earnings growth is expected to slow to 2 %

2% per year and continue at that level forever. Your company has just announced earnings of $ 4

$4 million. What is the present value of all future earnings if the interest rate is 10 %

10%? (Assume all cash flows occur at the end of theyear.)

The present value is $

nothing

million. (Round to two decimalplaces.)