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You are asked to value the equity (i

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You are asked to value the equity (i.e., shares) in Truckers Limited (hereafter Truckers). The valuation date is 31 March 2020 when there were 150,000 (number in 000) shares on issue. Truckers' sales for the year ended 31 March 2020 were $500,000 ($ amounts are in 000) and its consolidated (group) balance sheet as at 31 March 2020 ($ amounts are in 000) is summarized as follows: Working capital $10,000 PPE and intangible assets $440.000 Net operating assets $450,000 Net non-operating obligations (i.e., interest bearing debt) $200,000 Equity (i.e., Shareholders' funds) $250.000 Total capital $450,000 You may assume Truckers' weighted average cost of capital (WACC) is 10 percent. Assume that, following an analysis of Truckers' past performance, a SWOT analysis of its business, anticipated actions by its competitors, developments in the industry and discussions with senior management, you make the following assumptions about Truckers' forecasted performance over the five year forecast horizon period (the years ended 31 March 2021 to 31 March 2025, inclusive) and the terminal (or perpetuity) period starting with the year ended 31 March 2026:

Terminal Horizon period period 2021 2022 2023 2024 2025 2026 Sales growth 15.0% 13.0% 11.0% 9.0% 5.0% 4.0% EBIT % (NOPM) 17.0% 17.0% 16.8% 16.8% 16.6% 16.4% Company tax rate 28.0% 28.0% 28.0% 28.0% 28.0% 28.0% Working capital turnover (WCT) 40.0 40.0 41.0 41.0 42.0 42.0 PPE and intangible assets turnover (PPET) 1.30 1.31 1.32 1.33 1.34 1.34 2 Required: Computes Truckers' value per share as at 31 March 2020 using the Discounted Cash Flow (DCF) Model.

Terminal period 2021 2022 2023 2024 2025 2026 Sales growth 15.00% 13.00% 11.00% 9.00% 5.00% 4.00% Sales = initial sales* sales growth rate 575000 649750 721223 786133 825439 858457 EBIT % (NOPM) 17.00% 17.00% 16.80% 16.80% 16.60% 16.40% EBIT = Sales *EBIT% 97750 110458 121165 132070 137023 140787 Company tax rate 28.00% 28.00% 28.00% 28.00% 28.00% 28.00% NOPAT=EBIT*(1-tax rate) 70380 79529 87239 95091 98656 101367 Working capital turnover (WCT) 40 40 41 41 42 42 WC 14375 16244 17591 19174 19653 20439 AWC 4375 1869 1347 1583 479 786 PPE and intangible assets turnover (PPET) 1.3 1.31 1.32 1.33 1.34 1.34 PPET 442308 495992 546381 591077 615999 640639 APPET 2308 53685 50388 44696 24922 24640 FCFF=NOPAT-increase of NOA 63697 23976 35504 48811 73255 75940 Discount factor = 1/ (1+10%)^n 0.909091 0.826446 0.751315 0.683013 0.620921 PVCF 57906.64 19814.86 26674.47 33338.58 45485.50 Present value of the terminal value ???? Total firm value Less NNO+ Less NCI

Present value of the terminal value Total firm value Less NNO+ Less NCI Firm equity value Shares outstanding Stock value per share