Question: Tom Tom Co . has been working on new technology. This new technology will be available in the near term, and the firm's CEO anticipates

Tom Tom Co

.

has been working on new technology. This new technology will be available in the near term, and the firm's CEO anticipates the first cash flow to be $

300, 000,

received four years from today. Subsequent annual cash flows will grow at

3 %

in perpetuity. Calculate the value of the technology today if the discount rate is

10 % . (

Round to

2

decimals

)

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