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PLEASE URGENT!!! You are supervising a young analyst trainee who is trying to put together a DCF for assessing the value of a mature packaging

PLEASE URGENT!!!

You are supervising a young analyst trainee who is trying to put together a DCF for assessing the value of a mature packaging company. Looking at her draft you notice several elements:

Sales growth for the first 5 years:

CAPEX per year:

Average yearly Change in Working Capital for the first 5 years:

TV is set as growing perpetuity.

Growth rate used:

Rate used to discount all FCFF: 10-year risk-free rate

14%

None

-3%

9%

1.5%

a) List all inconsistencies you see in her assumptions.

b) How will those errors affect her value? Explain

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