The information below relates to the valuation of Michigan full service gasoline service stations.

Station	Sale Price	Net Operating Earnings	Valuation Ratio
Zeon Mobile	$2,400,000	$570,000
GP Petro	$ 1,570,000	$310,000

a. The operating earnings of Phillips XT service station were $400,000 for the most recent year. Using all of the information above, produce an initial value estimate.

b. What additional information would you need to make a high quality estimate of the Phillips XT service station? List and explain the importance of at least four additional pieces of information.