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You are running a hot internet pharmacy company. Analysts predict that its earnings will grow at ( 2 0 % ) per

You are running a hot internet pharmacy company. Analysts predict that its earnings will grow at \(20\%\) per year for the next 10 years. After that, as competition increases, earnings growth is expected to slow to \(6\%\) per year and continue at that level forever. Your company has just announced earnings of \(\$ 2\) million. What is the present value of all future earnings if the interest rate is \(7\%\)?(Assume all cash flows occur at the end of the year.)
Calculate the present value of all future earnings. (Round to two decimal places.)
The present value of all future earnings is \(\$ \) million.
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