In 2016, you started a small technology company Multigraphic TechSolutions. Reproduced below are its financial highlights for each of the past four years, ended 31 March. The final financial statements for the year ended March 31, 2020 have not yet been released. Fiscal Year Ending March 2016 2017 2018 2019 31 Revenue ($ thousand) 344 682 849 1069 Cost of Goods Sold ($ thousands) 213 443 543 673 Cost of Goods Sold - % 62% 65% 64% 63% Gross Profit ($ thousands) 131 239 306 396 Gross Profit Margin - % 38% 35% 36% 37% 263 266 271 275 Operating Expense ($ thousands) Net Income (Loss) Before Tax ($ '000) (132) (27) 35 121 Taxes Net Income (Loss) After Tax ($ '000) (132) (27) 121 One day, Mark Zuckerberg sends you a text message, on your i-Phone. Mark writes 'Dude! I want 2 buy your biz. What's it worth? Later, you sit down with your 22-year old CFO, and you ask her "What's a reasonable valuation of the equity of the company?" "Well says your CFO, putting down her bubble tea, and picks up her i-Pad "We forecast our sales for this past year (FYE March 31, 2020) to have been exactly $1.2 million. We are forecasting our cost of goods sold to be 60%." "What about our op ex?" you ask. "I'm budgeting total operating expenses of $280,000" she tells you. "What about taxes?" you ask. "Well, we've got some tax loss carry forward and, thanks to the accelerated depreciation on the software we've purchased, we won't pay any taxes this year. "So.....?" "So" she explains "Mark will be acquiring our net after tax income, and paying a multiple for it." "I'm budgeting total operating expenses of $280,000" she tells you. "What about taxes?" you ask. "Well, we've got some tax loss carry forward and, thanks to the accelerated depreciation on the software we've purchased, we won't pay any taxes this year. "So.....?" "So" she explains "Mark will be acquiring our net after tax income, and paying a multiple for it." "What sort of multiple...?" "Well, Facebook's own Return on Equity has been about 18% over the last several years. They wouldn't even THINK of acquiring us unless we yielded a higher return then their core business. I figure that the hurdle rate that they'll use to value us will be 25%" "Yes, but we're a pretty mature business now, we've no debt, predictable cash flow, and our sales and earnings are expected to grow at 15% per year for the foreseeable future". "Cool says your CFO You've given me everything I need know, to do a valuation of our company. I've got to go to my Pilates class, but I'll e-mail Mark with our asking price after lunch." Based on the information given in the case, what value should be placed on Multigraphic Tech Solutions