You are running a hot internet company. Analysts predict that its earnings will grow at 30% per year for the next 5 years, after that, as competition increases, earnings growth is expeted to slow to 2% per year and continue at that level forever. Your company has just announed earnings of $1,000,000. What is the present value of all future earnings if the interest rate is 8%?

assume all cash flows occur at the end of the year

hint: PV = PV(annuity) + PV(perpetutity)

Please show all work