Assume that Sidney Johnson is confident of her estimates of all the variables that affect* the project's cash flows except unit sales and sales price . If product acceptance is poor , unit sales would be only 75% of the forecast and the unit price would only be $150 ; a Strong consumer response would produce sales of 125%'6 of the forecast units and a unit price of $240 . Sidney believes that there is a 25%6 chance of poor acceptance , $ 25%'0 chance of excellent acceptance , and a 50's chance of average acceptance ( the base case ) . 1 . What is scenario analysis ?" 2 . What is the worst - case NEY ? The best- case NEY ? " E Use the worst - , base _ , and best - case NPV's and probabilities of occurrence to find the project's expected NPV* Are there problems with scenario analysis ? Discuss it's principal advantages and disadvantages . Submit a professionally prepared type written report answering all of the questions . Include any appropriate table , schedules or files showing your work and how you calculated your figures . When answering the questions assume you are explaining Your work to someone who is not experienced in finance . It is recommended ( but not required ; that you do Your spreadsheets in Excel . Let me know if you have any questions