Fertilizer Husk Decountrace uniformly distributed between me an Triangular ($18. $206. 8. TIME Intial Olay Annual Cash Flow Salvace vale Total Cash Flow $20,000 $20,000 $20,000 (575,000 $20.000 $20,000 $20,000 SO $1,000 $3,000 U. (128K304) in bonis (30% pahalliy Uniformlak -2016) (20% We have a Fertilizer company who wants to calculate its NPV for the next 5 years. However, there are some uncertainties needed to be incorporated into the calculation: Cost of capital uniformly distributed between 7% and 13% Cash flaws at time 4-5 are uncertain: CF4 triangular distribution ($15K, $20K, $28K) CF5 uniformly distributed between $20K and $30K 1. What is the probability that NPV is between $5K and $7K? What variable is NPV most sensitive to? NPV 2. If the cash flow at time 4 follows a triangular distribution ($15K, $20K, $28K) in boom times with 30% probability and uniformly distributed between $10K and $20K in recession with 70% probability. Can you run the simulation and calculate what is the probability that NPV is between $5K and $7K? What variable is NPV most sensitive to? Fertilizer Husk Decountrace uniformly distributed between me an Triangular ($18. $206. 8. TIME Intial Olay Annual Cash Flow Salvace vale Total Cash Flow $20,000 $20,000 $20,000 (575,000 $20.000 $20,000 $20,000 SO $1,000 $3,000 U. (128K304) in bonis (30% pahalliy Uniformlak -2016) (20% We have a Fertilizer company who wants to calculate its NPV for the next 5 years. However, there are some uncertainties needed to be incorporated into the calculation: Cost of capital uniformly distributed between 7% and 13% Cash flaws at time 4-5 are uncertain: CF4 triangular distribution ($15K, $20K, $28K) CF5 uniformly distributed between $20K and $30K 1. What is the probability that NPV is between $5K and $7K? What variable is NPV most sensitive to? NPV 2. If the cash flow at time 4 follows a triangular distribution ($15K, $20K, $28K) in boom times with 30% probability and uniformly distributed between $10K and $20K in recession with 70% probability. Can you run the simulation and calculate what is the probability that NPV is between $5K and $7K? What variable is NPV most sensitive to