Using the valuation model, calculate how the following changes affects the base case NPV of the business (make the changes one at a time).

1. Increase sales growth in years 2018-2022 from 4% to 5%

2. 

(A$millions) Year Ending June 30 FY2019 FY2020 FY2021 FY2018 FY2022 Sales 310.00 322.40 335.30 348.71 362.66 Earnings Before Interest & Taxes (EBIT) Depreciation and Amortization 34.10 5.00 35.46 5.80 36.88 .50 38.36 7.30 39.89 8.00 6 Cash Flow Items: Capital Expenditures Net Working Capital (NWC) 8.00 46.50 8.00 48.36 8.00 50.29 8.00 52.31 8.00 54.40 Discount rate (WACC) Corporate tax rate 8% 30% (A$millions) Year Ending June 30 FY2019 FY2020 FY2021 FY2018 FY2022 Sales 310.00 322.40 335.30 348.71 362.66 Earnings Before Interest & Taxes (EBIT) Depreciation and Amortization 34.10 5.00 35.46 5.80 36.88 .50 38.36 7.30 39.89 8.00 6 Cash Flow Items: Capital Expenditures Net Working Capital (NWC) 8.00 46.50 8.00 48.36 8.00 50.29 8.00 52.31 8.00 54.40 Discount rate (WACC) Corporate tax rate 8% 30%