Develop, and describe how you went about developing, the inputs that will be used to estimate the value of the company that you have selected. Specifically:
Construct pro-forma financial statements as an integrated model of your company’s financial statements using the growth rates proposed in Part 1.
Use the pro-forma to derive cash flows that can be used in a Discounted Cash Flow based valuation of the company.
Propose and estimate an appropriate ratio for use in relative valuation.
Calculate a discount rate for use in your valuation. Outline and justify the assumptions that you have made in constructing the discount rate.