Your boss believes that company ABC is a good investment, and he wants to buy some shares in

this company. However, because he is new at this, he brings you the past $10$ years of financial

statements for company ABC and asks you if it is a good idea to buy. In particular, he wants you

to estimate whether the current price of its stock is reasonable, undervalued, or overvalued.

Based on the information given, you have synthesized the assumptions below. Use these to

answer the following questions:

$1.$ Build pro forma balance sheets and income statements for the next $6$ years.

$2.$ Is the company overvalued or undervalued according to your assumptions? What advice

would you give your boss?

$3.$ Your boss believes that the analysts may be underestimating the sales growth for ABC.

How sensitive is your estimation to the sales growth assumption? Run a sensitivity

analysis using a Data Table, and graph the relation between equity value and sales growth.