Consider the following data for Nike Incl 2009 it had $19.250 milion in sales with a 10% growth rate in 2010, but then slows by 15 to the long run growth rate of 5% by 2015 Nike expects EBIT to be 10% of sales. ncreases in net working capital tequrements to be 10% of any increases in sales, and capital expenditures to equal depreciation expenses Nike also has $2.300 million in cash $32 million in debt. 486 million shares outstanding a tax rate of 24%, and a weighted average cost of capital of 10% a. Suppose you believe Nike's initial revenue growth rate will be between 7% and 11% (with growth slowing incarly to 5% by year 2015). What range of prices for Nike stock is consistent with these forecasts? . Suppose you believe Nike's initial revenue EBIT margin will be between 9% and 11% of sales. What range of prices for Nike stock is consistent with these forecasts? Suppose you believe Nike's weighted average cost of capital is between 8.5% and 12%. What range of prices for Nike stock is consistent win these forecasts? d. What range of stock prices is consistent if you vary the estimates as in parta (a), (b), and (c) simultaneously? 1. Suppose you believe Niko's initial revenue growth rate will be between 7% and 115 With growth slowing inearty to 5% by year 2015). What range of prices for Nike stock is consistent with those forecasts? The range of prices will be Highest price share: Round to two decimal places.) Lowest price share: Round to no decimal places) b. Suppose you believe the initial revenue EBIT margin will be between 9% and 11% of sales. What range of prices for Nike stock is consistent with these forecasts? The range of prices will be Highest price per share Round to two decimal places) Lowest price per shares (Round to two decimal places) 6. Suppose you believe Niko's weighted average cost of capital is between 8.5% and 12% What range of prices for Nike stock is consistent with these for The range of prices will be Highest price per shares (Round to two decimal place) Lowest price per share: (Round to two decimal places) d. What range of stock prices is consistent if you very the estimates as in parts (m). (b) and (c) simultaneously? The range of prices will be: Highest price per share Round to two decimal places) Lowest price per har $(Round to two decimal plom) Consider the following data for Nike Inc. In 2009 it had $19.250 million in sales with a 10% growth rate in 2010, but then slows by 1% to the long-run growth rate of 5% by 2015 Nike expects EBIT to be 10% of sales, increases in networking capital requirements to be 10% of any increases in sales, and capital expenditures to equal depreciation expenses Nike also has $2.300 million in cash. $32 million in debt, 488 milion shares outstandinga tax rate of 24%, and a weighted average cost of capital of 10% Suppose you believe Nike's initial revenue growth rate will be between 7% and 11% with growth slowing linearly to 5% by year 2015). What range of prices for Nike stock is consistent with these forecasts? B. Suppose you believe Nike's initial revenue EBIT marginwill be between 9% and 11% of sales What range of prices for Nike stock is consistent with these forecasts? e Suppose you believe Niko's weighted average cost of capital in between 0.5% and 12% What range of prices for Nike stock is consistent with these forecasts? d. What range of stock price is consistent if you vary the estimates as in parts (A. (D) and (c) simultaneously? 2. Suppose you believe Nike's initial revenue growth rate will be between 7% and 115. with growth slowing linearly to 5% by year 2015). What range of prices for Nike stock in consistent with these forecasts? The range of prices will be Highest price share: (Round to two decimal places) Lowest price share $(Round to bwo decimal places 1. Suppose you believe Nike's initial revenue EBIT marge will be between 9% and 11% of lies What range of prices for Nike stock in consistent with these forecast? The range of prices will be Highest price per shu (Round to two decimal places) Lowest price per shares (Round to two decimal places) 6. Suppose you believe Niko's welghod average cost of capital in between 8.5% and 12%. What range of prices for Nike shock in constatert with these forceste? The range of prices will be Highest price per Round to wo decimal places) Lowest price per share: Round to two decimal places) d. What rangu et stock prices in cornistere l' you very the estimates mes in parte (a) and (c) nimutaneously The range of prices will be Highest price per share: $(Round to two decimal places) Lowest price per share (Round to two decimal place) Consider the following data for Nike Incl 2009 it had $19.250 milion in sales with a 10% growth rate in 2010, but then slows by 15 to the long run growth rate of 5% by 2015 Nike expects EBIT to be 10% of sales. ncreases in net working capital tequrements to be 10% of any increases in sales, and capital expenditures to equal depreciation expenses Nike also has $2.300 million in cash $32 million in debt. 486 million shares outstanding a tax rate of 24%, and a weighted average cost of capital of 10% a. Suppose you believe Nike's initial revenue growth rate will be between 7% and 11% (with growth slowing incarly to 5% by year 2015). What range of prices for Nike stock is consistent with these forecasts? . Suppose you believe Nike's initial revenue EBIT margin will be between 9% and 11% of sales. What range of prices for Nike stock is consistent with these forecasts? Suppose you believe Nike's weighted average cost of capital is between 8.5% and 12%. What range of prices for Nike stock is consistent win these forecasts? d. What range of stock prices is consistent if you vary the estimates as in parta (a), (b), and (c) simultaneously? 1. Suppose you believe Niko's initial revenue growth rate will be between 7% and 115 With growth slowing inearty to 5% by year 2015). What range of prices for Nike stock is consistent with those forecasts? The range of prices will be Highest price share: Round to two decimal places.) Lowest price share: Round to no decimal places) b. Suppose you believe the initial revenue EBIT margin will be between 9% and 11% of sales. What range of prices for Nike stock is consistent with these forecasts? The range of prices will be Highest price per share Round to two decimal places) Lowest price per shares (Round to two decimal places) 6. Suppose you believe Niko's weighted average cost of capital is between 8.5% and 12% What range of prices for Nike stock is consistent with these for The range of prices will be Highest price per shares (Round to two decimal place) Lowest price per share: (Round to two decimal places) d. What range of stock prices is consistent if you very the estimates as in parts (m). (b) and (c) simultaneously? The range of prices will be: Highest price per share Round to two decimal places) Lowest price per har $(Round to two decimal plom) Consider the following data for Nike Inc. In 2009 it had $19.250 million in sales with a 10% growth rate in 2010, but then slows by 1% to the long-run growth rate of 5% by 2015 Nike expects EBIT to be 10% of sales, increases in networking capital requirements to be 10% of any increases in sales, and capital expenditures to equal depreciation expenses Nike also has $2.300 million in cash. $32 million in debt, 488 milion shares outstandinga tax rate of 24%, and a weighted average cost of capital of 10% Suppose you believe Nike's initial revenue growth rate will be between 7% and 11% with growth slowing linearly to 5% by year 2015). What range of prices for Nike stock is consistent with these forecasts? B. Suppose you believe Nike's initial revenue EBIT marginwill be between 9% and 11% of sales What range of prices for Nike stock is consistent with these forecasts? e Suppose you believe Niko's weighted average cost of capital in between 0.5% and 12% What range of prices for Nike stock is consistent with these forecasts? d. What range of stock price is consistent if you vary the estimates as in parts (A. (D) and (c) simultaneously? 2. Suppose you believe Nike's initial revenue growth rate will be between 7% and 115. with growth slowing linearly to 5% by year 2015). What range of prices for Nike stock in consistent with these forecasts? The range of prices will be Highest price share: (Round to two decimal places) Lowest price share $(Round to bwo decimal places 1. Suppose you believe Nike's initial revenue EBIT marge will be between 9% and 11% of lies What range of prices for Nike stock in consistent with these forecast? The range of prices will be Highest price per shu (Round to two decimal places) Lowest price per shares (Round to two decimal places) 6. Suppose you believe Niko's welghod average cost of capital in between 8.5% and 12%. What range of prices for Nike shock in constatert with these forceste? The range of prices will be Highest price per Round to wo decimal places) Lowest price per share: Round to two decimal places) d. What rangu et stock prices in cornistere l' you very the estimates mes in parte (a) and (c) nimutaneously The range of prices will be Highest price per share: $(Round to two decimal places) Lowest price per share (Round to two decimal place)