A firm's current earnings for the year are 500,000,RARRoR is 10% and Growth expectation are 4%. Imagine the firm could increases earning or growth by 15% or reduce RARRoR by 15%. Required: a) What would be the firm's Enterprise Value if it remains with its current results? (2 marks) b) What would the firm's Enterprise Value if it were able to increase earnings by 15% and the other variables for Enterprise Value remained the same? (2 marks) c) What would the firm's Enterprise Value if it were able to increase the growth rate by 15% and the other variables for Enterprise Value remained the same? (2 marks) d) What would the firm's Enterprise Value if it were able to decrease RARRoR by 15% and the other variables for Enterprise Value remained the same? (2 marks) e) Which strategy do you recommend the firm take? Why? (2 marks) A firm's current earnings for the year are 500,000,RARRoR is 10% and Growth expectation are 4%. Imagine the firm could increases earning or growth by 15% or reduce RARRoR by 15%. Required: a) What would be the firm's Enterprise Value if it remains with its current results? (2 marks) b) What would the firm's Enterprise Value if it were able to increase earnings by 15% and the other variables for Enterprise Value remained the same? (2 marks) c) What would the firm's Enterprise Value if it were able to increase the growth rate by 15% and the other variables for Enterprise Value remained the same? (2 marks) d) What would the firm's Enterprise Value if it were able to decrease RARRoR by 15% and the other variables for Enterprise Value remained the same? (2 marks) e) Which strategy do you recommend the firm take? Why? (2 marks)