Question: 1 . The base case valuation reflects a constant 5 7 % gross margin throughout the planning period. Based on the information given in the

1 .

The base case valuation reflects a constant

57 %

gross margin throughout the planning period. Based on the information given in the case study, do you believe that this is realistic? Why? Why not? How might this assumption have biased the estimates of enterprise and equity valuation in your answers to questions

1

4 ?

If they were biased, what would be the direction of the bias?

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