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3. You are to conduct an extensive sensitivity analysis on the problem described below. The sensitivity approach will consist of two parts: (a) A range
3. You are to conduct an extensive sensitivity analysis on the problem described below. The sensitivity approach will consist of two parts: (a) A range approach where the most optimistic, most likely, and most pessimistic values of the dependent variables N PV and IRR are determined. (b) A range approach where the mean value is determined for each independent variable and then each variable is allowed to vary 20% about that mean while all other independent variables are held constant. Create spider plots for NPV and i RR using the results The project life is 7 years and the MARR is 15%. The initial investment is given by a uniform distribution between $200,000 and $300,000 he annual profit is given by a triangular distribution that has a minimum value of $55,000/year, a mode of S67,500 year, and a maximum valuc of $85,000/year. The salvage valuc of the investment is given by a triangular distribution that has a minimum value of $60,000, a mode of $75,000, and a maximum value of $85,000
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