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How to calculate sensitivity analysis at a 20% variance when the NPV, IRR, MIRR, PI, Payback, Discounted Payback also sales growth rate, cost of capital,
How to calculate sensitivity analysis at a 20% variance when the NPV, IRR, MIRR, PI, Payback, Discounted Payback also sales growth rate, cost of capital, unit costs, sales price) on the estimated NPV or IRR in order to demonstrate the sensitivity of the model
YEAR | 2018 | 2017 | 2016 | 2015 |
Accumulated Equity (E) | 30801 | 35226 | 40082 | 52273 |
Accumulated Liabilities (D) | 42561 | 54546 | 57402 | 64266 |
E+D=V | 73362 | 89772 | 97484 | 116539 |
E/V*Re | 0.087286714 | 0.081578726 | 0.085481185 | 0.093252531 |
D/V*Rd | 0.000696181 | 0.000729127 | 0.000706602 | 0.000661746 |
WACC | 8.80% | 8.23% | 8.62% | 9.39% |
Cost of Equity | 20.79% | |||
Cost of Debt | 0.12% |
Cost of Fixed Assets for Project (FA) | $680,000,000 |
Shipping & Installation fee | $25,000,000 |
Depreciation Basis | $705,000,000 |
Unit Sold in Year 1 | 2,560,000 |
Required NOWC as % of Sales | 12% |
Annual Growth Rate of Sales | 5.5% |
Unit Sales Price in Year 1 | $255 |
Variable Costs (VC) per Unit in Year 1 | $200 |
Annual Inflation: Growth in Sales Price | 1.80% |
Annual Inflation: Growth in VC per unit | 1.80% |
Company Tax Rate* | 36.78% |
WACC** | 8.79% |
Market Value of FA at Salvage | $16,927,329 |
Fixed Asset MACRS Class | 10 years |
Duration of the project | 11 years |
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