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Consider the following cash flow for an investment: C: Cost, I: Income, L: Salvage Value Assume the 10% minimum rate of return (discount rate) and

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Consider the following cash flow for an investment: C: Cost, I: Income, L: Salvage Value Assume the 10% minimum rate of return (discount rate) and evaluate the sensitivity of the project NPV to 20% and 40% increase and decrease in: a) Initial investment b) Annual income c) Salvage value d) Interest rate e) Draw the tornado graph and rank above 4 inputs based on NPV sensitivity analysis

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