Consider the following data for JB Hi-Fi: In 2016, it had $4,000 million in sales with a 5.6% growth rate in 2017 and 2018, 6% in 2019 and 2020, 5% in 2021 and 2022, but then slows to the long-run growth rate of 3% by 2023. The growth rate in 20JB Hi-Fi expects EBIT to be 5.6% of sales, increases in net working capital requirements to be 10% of any increases in sales. and capital expenditures to equal depreciation expenses. JB Hi-Fi also has $52 million in cash, $110 million in debt, $100.16 million shares outstanding, a tax rate of 30%, and a weighted average cost of capital of 9%.

(a). Suppose you believe JB Hi-Fi initial revenue growth rate will be between 4% and 10% (with growth always slowing linearly to 3% by year 2023). What range of share prices for JB Hi-Fi stock is consistent with these forecasts?

(b). Suppose you believe JB Hi-Fi initial revenue EBIT margin will be between 4% and 6% of sales. What range of share prices for JB Hi-Fi is consistent with these forecasts?

(c). Suppose you believe JB Hi-Fi weighted average cost of capital is between 11.0% and 14%. What range of share prices for JB Hi-Fi stock is consistent with these forecasts?

(d). What range of share prices is consistent if you vary the estimates as in parts (a), (b), and (c) simultaneously?