You should submit a case write up complying w Your task: 1. You should come up w

You should submit a case write up complying w Your task: 1. You should come up with a basic discounted cash flow value for the consolidated MW company (use Exhibit 7 of the case) and a value of the possible tax shield obtained from debt to complete the APV. 2. You should identify which part of the company (reserves) could be treated as assets in place, and which reserves are better considered as options, and thus, valued as such. You should also identify which of the options are “in the money” and which might be “out of the money”. 3. You will conduct a sensitivity analysis for the different option values against different but relevant time to expiration years and different volatilities measured by the standard deviation 4. Finally, you will compare the APV you obtained in (1) with the total value of MW considering the options embedded in the offer.