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LO3 26. Sensitivity Analysis Consider a four-year project with the following information: Initial fixed asset investment =$655,000; straight-line depreciation to zero over the four-year life;
LO3 26. Sensitivity Analysis Consider a four-year project with the following information: Initial fixed asset investment =$655,000; straight-line depreciation to zero over the four-year life; zero salvage value; price =$28; variable costs =$16; fixed costs =$245,000; quantity sold =61,000 units; tax rate =21 percent. How sensitive is OCF to changes in quantity sold
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