you're considering the purchase of a truck leasing company. your accountant informs you that the company earned $4 m in the just completed fiscal year. however because of increased competition from other truck. leasing companies, you estimate that earning are expected to decline by 3% per year over the foreseeable future. how much would you pay for the company if the rate of return is 17.5% and you planned to close the company at the end of 15 years??

I know the answer is 17.86 million but I want to know how ??