1) if spotify grows at only 4% per year after 2021 and you estimate that right know (year 0) they have average charge of $10 per subscriber so they have $1650M in sales, twenty years from now. who has more revenue- Spotify or The Scale?

2)if Spotify's profit margin is 22%(so their profit is 22% of their revenue) then who has more profit 20 years from now? Spotify or The Scale?

3)What is the difference in profit between Spotify and The Scale(units in $M)?

4) What is the total cost for The Scale in PW based off figure 2(units in $M)?

5)What is the total sales for the Scale in PW based off figure 3(units in $M)?

Can you answer all four of them please.

Interest and MARR Interest is expected to be 10% per year unless stated otherwise Time 13 weeks in a quarter, 52 weeks in a year, 4 quarters in a year, 3 months per quarter Taxation Effective tax rate is 30% Inflation: in = 1 + f+9+ Nominal to Equivalent: i per period = (1 + rm - 1 Maxwell's Equations: P VE E9 OB XE=t VB=0 OE VB = NJ + 1903 + Figure 1: Music streaming graphs Spotify Has Extended Its Lead In The Music Streaming Wars 175m 165m Spotify 150m Apple Music 125m Nuk Amazon Music Number of paid music subscribers 100m YouTube Music 75m 50m 25m 2018 2019 2020 2021 Om 2015 2016 2017 Source: Company reports, vanous media reports, Midia estimates, FT charti Includes YouTube Premium Figure 3: Sales projected for The Scale (year Ois 2021) Sales [in $M) 1800 1,62741 1600 1,415.14 1400 1,230,56 1200 1,070.05 1000 930,48 809 11 800 703.58 61180 600 532.00 g=15% 462.61 402.22 400 301.18 49.80 264.50 180.00 230.00 200.00 200 100.00 120.00 140.00 160.00 0 0 1 2 3 4 5 10 11 12 13 14 15 16 16 17 17 18 10 20 3 of 7 Figure 2: Costs of The Scale Costs [in $M) 100.00 125.32 120.00 113.92 103.57 100.00 94.15 85.59 77.81 000 7074 64.31 58.46 60.00 53.15 g=10% 48.32 2792 39.93 40.00 3630 30.00 33.00 25.00 20.00 20.00 15.00 10.00 ill 5.00 0.00 0 1 2 10 11 12 13 14 15 16 17 18 19 20 Questions 1. If Spotify grows at only 4% per year after 2021 and you estimate that right now (year 0) they have an average charge of $10 per subscriber so they have $1650M in sales, twenty years from now, who has more revenue - Spotify or The Scale? 2. If Spotify's profit margin is 22% (so their profit is 22% of their revenue) then who has more profit 20 years from now? Spotify or The Scale? 3. What is the difference in profit between Spotify and The Scale [units in $Mj? 4. What is the total cost for The Scale in PW based off Figure 2 [units in $M)? 5. What is the total sales for The Scale in PW based off Figure 3 [units in $M]