ABC Ltd. is a new startup that starts in 2020 and will generate earnings of $1.25 millionin 2021. It is in a country where the government mandates investing at least 20% of annual earnings in new projects. ABC decides that they will invest only the legally binding, bare minimum percentage of their annual earnings into the new projects and will pay the remaining earnings as dividends. Thus, in 2021 dividend payments will be $1 million.The number of shares outstanding is 1 million and there are no plans to change this number. Analysts expect that ABC's new investments will growat a net rate of 35%in 2022,50%in 2023, 60%in2024,beforegrowingata net rate of 25%from 2025 onwards for an indefinite period.

What is the intrinsic value of the firm according to a DCF valuationof dividends with 15% annual discount rate? Input your answer with 2 decimals.

Hint:dividends are payout ratio times earnings. Thus, dividends and earnings grow at the same rate. Earnings growth are retention rate x investment growth.