Finefodder's analysts have come up with the following revised estimates for the Gravenstein store (Section 10.2): Conduct
Question:
Conduct a sensitivity analysis using the revised data. Label yours answer as follows:
Transcribed Image Text:
Range Investment Sales Variable costs as % of sales Fixed cost Pessimistic $5,400,000 16,000,000 81 $3,000,000 Expected Optimistic $5,200,000 $5,000,000 18,000,000 21,000,000 79.5 $2,600,000 $2,300,000 80 NPV of Gravenstein Store Pessimistic Expected Optimistic Investment Sales Variable costs as % of sales Fixed cost
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Related Book For
Fundamentals of Corporate Finance
ISBN: 978-0077861629
8th edition
Authors: Richard Brealey, Stewart Myers, Alan Marcus
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