Deliverable 3 (40 marks): Sensitivity Analysis. (Excel) Conduct a simple sensitivity analysis to know the extent by which the companys future profits will be affected if the assumptions in your projected model change. (20 marks) o You should test 3 alternative scenarios. Each scenario should be presented by way of a copy of your original financial model, with revised input assumptions for each. o Each alternate scenario should be presented within a distinct tab in your Excel file and each tab should be properly labelled. o Each new scenario should each only modify one input/driver variable vs. the base case, such as to reveal that variables true/direct influence. (Word) Identify the key drivers that influence the business. In other words, what are the areas of critical importance which are most deserving of managements attention? Briefly discuss how you have determined this. (10 marks Max 200 words) (Word) Based upon all of your findings above, briefly describe 2 action plans you deem are the best ways to improve the companys valuations. (10 marks Max 200 words)

APPENDIX \begin{tabular}{|l|r|r|r|r|} \hline \multicolumn{5}{|c|}{ Weighted Average of CAGR Calculation (Sample) } \\ \hline & 20172019 & 20202021 & 20212022 & \\ \hline Start value & 2390 & 2013 & 2378 & \\ \hline n & 2 & 1 & 1 & \\ \hline CAGR & 0.59% & 18.13% & 10.77% & \\ \hline End value & 2362 & 2378 & 2634 & 2.89% \\ \hline Weight of r & 25% & 10% & 65% & \\ \hline \end{tabular} Note: 2. The weights assigned to the CAGR are assumptions based on the following factors: i. Past and forecasted GDP rates of US and Canada APPENDIX \begin{tabular}{|l|r|r|r|r|} \hline \multicolumn{5}{|c|}{ Weighted Average of CAGR Calculation (Sample) } \\ \hline & 20172019 & 20202021 & 20212022 & \\ \hline Start value & 2390 & 2013 & 2378 & \\ \hline n & 2 & 1 & 1 & \\ \hline CAGR & 0.59% & 18.13% & 10.77% & \\ \hline End value & 2362 & 2378 & 2634 & 2.89% \\ \hline Weight of r & 25% & 10% & 65% & \\ \hline \end{tabular} Note: 2. The weights assigned to the CAGR are assumptions based on the following factors: i. Past and forecasted GDP rates of US and Canada