C D E F G 1 2 A B iPhone App Forecast of Revenue and Costs 3 Assumptions 4 Units Year 1 5 Yearly Increase 6 Price Per unit 700 100% 2.00 Q11 Answer: 7 Apple Commission 8 Contribution Margin per 9 10 Fixed Costs 11 Developer Cost - Initial 12 Incorporation LLC 13 Deveoper Cost - Mainten 14 Apple Developer License 15 Advertising 16 17 18 19 20 21 22 23 24 25 30% $1.40 formula required $3,500 year 1 only $199 year 1 only $1,000 yearly after year 1 $99 yearly $2,400 yearly Year Units Margin Fixed Costs Profit 1 700 $980.00 $6,198 ($5,218.00) 2 1400 $1,960.00 $3,499 ($1,539.00) 3 2800 $3,920.00 $3,499 $421.00 4 5600 $7,840.00 $3,499 $4,341.00 5 11200 $15,680.00 $3,499 $12,181.00 Profit Loss 26 Sensitivity Analysis 5 year Proft (Loss) as a function of Price Per Unit an changing assumptions 31 888588838 27 above 28 29 30 32 33 34 Yearly Increase 25% 50% 75% 100% 1.00 $ 0.25 $ 0.50 $ 0.75 $ 1.00 $ 2.00 $ 0.50 $ 1.00 $ 1.50 $ 2.00 3.00 $ 0.75 $ 1.50 $ 2.25 $ 3.00 4.00 $ 1.00 $ 2.00 $ 3.00 $ 4.00 5.00 1.25 $ 2.50 $ 3.75 $ 5.00 36 Sensitivity Analysis 5 year Proft (Loss) as a function of Price Per Unit an using what-if analysis ning 5 year 37 40 41 42 43 58893 Price per Uni 25% Yearly Increase 50% 75% 100% 1.00 2.00 3.00 4.00 5.00